Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (8) TMI 838 - AT - Income TaxPenalty u/s.271(1)(c) - addition on account of low G.P. - Held that:- So far as sustenance of penalty on addition on account of estimation of GP is concerned, in quantum, addition has been sustained upto the stage of this Tribunal wherein the Tribunal has estimated the profit @ 9% as adopted by the AO of 11%. Hence, the entire addition is purely made on the basis of estimation. The contention is that book of accounts could not be produced because of the destruction in flood. It is settled principle of law that the quantum and the penalty proceedings are two different and distinct proceedings. Therefore, after considering the totality of the facts of the present case, we are of the view that levy of penalty would not be justified. Therefore, we direct the AO to delete the penalty on addition made on the basis of estimation. Thus, this issue is allowed. - Decided in favour of assessee. Disallowance of depreciation on computer - Held that:- It is the contention of assessee that it had purchased computer on which depreciation was claimed. In view of the judgement of Hon’ble Supreme Court rendered in the case of CIT vs. Reliance Petroproducts Pvt.Ltd. [2010 (3) TMI 80 - SUPREME COURT] wherein held a mere making of a claim, which is not sustainable in law, by itself, will not amount to furnishing inaccurate particulars regarding the income of the assessee, we hereby direct the AO to delete the penalty. - Decided in favour of assessee.
|