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2016 (2) TMI 1245 - AT - Income TaxPenalty u/s 271(1)(c) - addition by invoking deemed provisions u/s 2(22)(e) - HELD THAT:- The Hon’ble Supreme Court in the case of CIT Vs. Reliance Petro Products [2010 (3) TMI 80 - SUPREME COURT] has observed that “where there is no finding that any details supplied by the assessee in its return of income are found to be incorrect or erroneous or false, there is no question of invoking penalty u/s 271(1)(c) of the Act. Mere making a claim, which is not sustainable in law, by itself will not amount to furnishing inaccurate particulars regarding the income of the assessee. Such as claim made in the return cannot amount to furnishing inaccurate particulars. In the present case, the assessee filed all the details and he made claim i.e. the amount received by him is an advance. According to the assessing officer the amount received by the assessee is a deemed dividend by virtue of deemed provisions of law i.e. 2(22)(e) of the Act. Thus, we find that the assessee neither concealed the income nor filed inaccurate particulars. The above judgement of the Hon’ble Supreme Court squarely applies to the facts of the case
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