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2018 (4) TMI 798 - AT - Income TaxPenalty u/s. 271(1)(c) - assessee firm had furnished inaccurate particulars of income in its original return filed by claiming admittedly bogus purchases - Held that:- It is a settled law that when sales are not doubted hundred percent disallowance on the plank of bogus purchase cannot be done. This exposition comes from the in the case of Nikunj eximp enterprises (2013 (1) TMI 88 - BOMBAY HIGH COURT). Just because assessee has filed a revised return of income and added the purchases as income, it can be presumed that there has been any concealment of income or furnishing of inaccurate particulars of income. This is more so when no enquiry whatsoever was made by the assessing officer himself in the assessment proceedings or in the penalty proceedings. We duly note that Hon’ble high courts and ITAT in a catena of cases have disapproved hundred percent addition in similar situation. Hence in our considered opinion in these facts of the assessee cannot be visited with the rigours of penalty under section 271(1)(c) of the Act. - Decided in favour of assessee.
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