2020 (11) TMI 936 - ITAT VISAKHAPATNAM - Income Tax

Head Note / Extract:
Penalty @30% on undisclosed income u/s 271AAB - No search was conducted u/s 132 but only survey u/s 133A was conducted - HELD THAT:- From plain reading of section 271AAB, it is observed that for invoking penalty u/s 271AAB, search u/s 132 is required to be initiated, whereas in this case, there is no evidence put forth by the department initiating search u/s 132 of the act Since no search was conducted u/s 132 and only survey u/s 133A was conducted and the assessment order was passed u/s 153C r.w.s. 143(3) of the act. Therefore, we hold that the Ld.CIT(A) has rightly cancelled the penalty levied u/s 271AAB of the Act and we do not find any reason to interfere with the order of the Ld.CIT(A) and the same is upheld. - Decided in favour of assessee.