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2018 (7) TMI 812 - AT - Income TaxPenalty order passed under s.271(1)(c) - not mentioning the specific charge in the notice issued u/s 274 - assessee has claimed exemption u/s 54G though ineligible - Held that:- There is no ambiguity that there was no specific charge mentioned by the AO in the notice issued u/s 274 of the Act whether it was levied on account of concealment of income or furnishing inaccurate particulars of income. But on perusal of the penalty order we note that the penalty was levied on account of furnishing inaccurate particulars of income. Therefore, we are of the view that the lower authorities was conscious while levying the penalty in the order u/s 271(1)(c) of the Act. Therefore, the penalty proceedings cannot be held invalid merely on the ground that the notice does not specify the specific charge for levying the penalty. Not mentioning the specific charge in the notice issued u/s 274 of the Act cannot vitiate the penalty proceedings u/s 271(1)(c) of the Act. See SNITA TRANSPORT (P.) LTD. VERSUS. ASSISTANT COMMISSIONER OF INCOME-TAX [2012 (12) TMI 981 - HIGH COURT OF GUJARAT] In the case on hand, the assessee was well aware of all the provisions of Act and accordingly, he has rightly claimed the deduction u/s 54EC of the Act. The assessee in the instant case has claimed the deduction u/s. 54G of the Act against the transfer of agriculture land, which was not notified for the purpose of Section 54G of the Act. Thus the deduction claimed under section 54G of the Act is contrary to the provisions of law. In the given facts & circumstances the assessee cannot take the shelter of the ignorance of the provisions of law. Similarly, the assessee agreed to such addition in the proceedings under section 263 of the Act, cannot be the ground for not levying the penalty. Thus the assessee was guilty of furnishing the inaccurate particulars of income. Therefore, we do not find any infirmity in the order of lower authorities. - decided in favour of revenue
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