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2018 (4) TMI 791 - AT - Income TaxPenalty u/s 271B - assessee had failed to get his books of account audited before the due date as required by section 44AB - not maintained regular books of accounts - Held that:- As rightly pointed out by the DR from the relevant provisions of section 44AB, every person carrying on business is required to get his accounts audited if his total sales turnover or gross receipts, as the case may be, in business exceeds ₹ 40,00,000/- upto A.Y. 2010-11. What is relevant for the purpose of application of section 44AB is the actual gross receipts or turnover of the business of the assessee for the relevant year and not the turnover as declared by the assessee in his returns of income filed under section 139(1). In the present case, the gross receipts or turnover of the business of the assessee for all the four years under consideration was found to be actually more than the limit of ₹ 40,00,000/- prescribed in section 44AB and the said quantum having been upheld even in appeal by the Tribunal, we are of the view that the provisions of section 44AB were clearly attracted going by the actual turnover or gross receipts of the assessee’s business. Restore this matter to the file of the A.O. with the direction to verify the claim of the assessee of having not maintained any regular books of account for all the four years under consideration from the relevant record and decide the issue in the light of the decision in the case of Suraj Mal Parasuram Todi (1996 (8) TMI 102 - GAUHATI High Court) and case of Bisauli Tractors (2007 (5) TMI 181 - ALLAHABAD HIGH COURT). A.O. is also directed to verify another contention raised by the learned counsel for the assessee that the penalties of ₹ 1,47,702/- and ₹ 1,35,820/- imposed for A.Y. 2008-09 and 2009-10 respectively are more than the maximum penalty of ₹ 1,00,000/- leviable for the said years and allow appropriate relief to the assessee accordingly.
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