Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (9) TMI 920 - AT - Income TaxPenalty u/s 271(1)(c) - Defective show cause notice - A.O. has mentioned both the limbs of Section 271(1)(c) that assessee has concealed the particulars of income or furnished inaccurate particulars of such income - HELD THAT:- Show cause notice Dated 28.02.2014 to be bad in Law as it did not specify under which limb of Section 271(1)(c) of the I.T. Act, the penalty proceedings had been initiated i.e., whether for concealment of particulars of income or furnishing inaccurate particulars of income. A.O. in the assessment order initiated the penalty proceedings for furnishing inaccurate particulars of income, but, in the penalty order, levied the penalty for concealment of particulars of income. See M/s. Sahara India Life Insurance Company Ltd. [2019 (8) TMI 409 - DELHI HIGH COURT]. We are of the view that since notice issued before levy of the penalty is bad in Law, therefore, the entire penalty proceedings are vitiated and as such, penalty is liable to be cancelled. We set aside the Orders of the authorities below and cancel the penalty. Appeal of the Assessee allowed.
|