Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (5) TMI 1015 - AT - Income TaxPenalty u/s 271(1)(c) - wrong claim of the cost of construction - Held that:- The whole restriction of cost of construction out of WIP in the current year to the tune of ₹ 57,80,000/- and carrying forward the excess cost of construction to the extent of ₹ 1,76,68,705/- is tax neutral as it is not a disallowance or excess claim but a reduction in the claim of the cost of construction which has correspondingly resulted into higher cost of WIP to be carried forward for being claimed as cost of construction in the subsequent years against the sales of the said project. In the case of CIT vs Somany Evergree Knits Ltd (2013 (4) TMI 154 - BOMBAY HIGH COURT) the Hon’ble Jurisdictional High Court has held that where there was a bonafide mistake on the part of the assessee, the imposition of penalty is not warranted where the Revenue does not dispute the same. - Decided in favour of assessee.
|