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2018 (6) TMI 302 - AT - Income TaxPenalty u/s. 271(1)(b) - failure to comply with the initial two notices given u/s 143 - ‘good compliance’ - Held that:- It is true that assessee has physical disability, restricting his movements. He has authorised the AR to appear before the AO, who complied with the notices subsequently. Even though there was failure to comply with the initial two notices given, considering that AO has completed assessment u/s. 143(3) and not u/s. 144, the subsequent compliance can be considered as ‘good compliance’ for the earlier notices given. The initial non-compliance may not result in levy of penalty, as assessee has bonafide reasons for non-compliance. AO issued only one notice and levied two penalties for non-compliance on two dates. Technically speaking, each non-compliance requires separate show-cause notice/proceeding and AO cannot levy two penalties in one single proceeding - Decided in favour of assessee.
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