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2018 (10) TMI 182 - AT - Income TaxPenalty u/s 271(1)(b) - non compliance of a consolidated notice issued u/s 142(1) - non specification of reasons - Held that:- It is seen that in ‘Swarnaban M. Khanna’[2009 (12) TMI 669 - ITAT AHMEDABAD], it has been laid down that before levying penalty u/s 271(1)(b) of the Act, there must be a specific notice to the assessee for specific assessment requirements to be complied with; that the compliance must have relevance to the assessment year in question; that it must have apparent in question; that it must have apparent nexus with the assessment of the assessment year to be framed, and that the statutory provision for levy of penalty is not for mere technical non-compliance, but for actual or habitual defaulters. Referring to ‘Akhil Bhartiya Prathmik Sangh Bhawan Trust Vs. Assistant DIT’ [2007 (8) TMI 386 - ITAT DELHI-G], it was observed that if the assessment order is passed u/s 145(3) of the Act and not u/s 144 thereof, then the non-compliance is deemed to have been waived off. No contra decision has been cited to counter the above ratio decidendi of ‘Swarnaben M. Khanna’ (Supra), obviously, only one penalty can be levied for one default. As such, the grievance of the assessee is found to be justified. ‘Shri Khrishna Bihari Agarwal’ (Supra), relied on by the Ld. CIT(A) is of no consequence. The assessee has not been shown to be a heavily defaulter. - Decided in favour of assessee
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