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2017 (4) TMI 514 - AT - Income TaxPenalty under Section 271(1)(c) - Disallowance under Section 40(a)(ia) towards non-deduction of TDS on interest payment to Reliance Consumer Finance and Capital contribution - Held that - There is a variation in the figure of confirmed concealed income in the impugned order. We also observe that at the time of completion of assessment under Section 143(3) addition of Rs. 7, 65, 000/- was made towards unexplained capital contribution. But when the issue came up before the ld. CIT(A) it was contended that out of Rs. 7, 65, 000/- Rs. 7, 50, 000/- was a loan received from Reliance Consumer Finance in the personal capacity and was accordingly introduced as capital in the firm and balance sum of Rs. 15, 000/- was transferred from Savings Bank account of the partners held with Dena Bank to the account of the assessee-firm. Ld. CIT(A) admitted the additional evidence furnished by the assessee in relation to the alleged sum of Rs. 7, 65, 000/- and directed the Assessing Officer to verify the genuineness of these two documents and if they are found correct he has also directed the Assessing Officer to delete the impugned addition. However during the course of hearing before us it was submitted that till date no opportunity has been provided by the Assessing Authority calling for necessary details so that the assessee can prove the genuineness of the unexplained cash credit of Rs. 7, 65, 000/-. This fact has also not been controverted by the ld. Departmental Representative. We also observe that the impugned addition of Rs. 4, 56, 455/- under Section 40(a)(ia) of the Act is towards the non-deduction of TDS on the payment of interest to Reliance Consumer Finance which is well observed in para 4.2 of the of the order under Section 143(3) of the Act which further adduce the fact that there is a loan from Reliance Consumer Finance. We are of the considered view that penalty under Section 271(1)(c) of the Act needs to be framed afresh as the present order is having lots of deficiencies in form of variation of figures and also it is not complying to the directions of ld. CIT(A) in the quantum appeal orders - Appeal of the assessee is allowed for statistical purposes.
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