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2021 (2) TMI 955 - AT - Income TaxPenalty u/s.271(1)( c) - additional income offered to tax by the assessee pursuant to survey and which was also disclosed by him in the return of income filed - HELD THAT:- As factual paper book filed by the assessee comprising of the profit and loss account for the year ended 31/03/2009 and the schedule for the other income thereon, the sum of ₹ 3 Crores has been disclosed by the assessee exclusively as income declared under survey under the head ‘other income’. This itself goes to prove that the assessee had duly recorded that income offered in the survey in its books of accounts. We find that this sum of ₹ 3 crores was also duly offered to tax by the assessee in the return of income filed. Moreover, we find that similar issue had been the subject matter of adjudication by the Hon’ble Delhi High Court in the case of CIT vs. SAS Pharmaceuticals [2011 (4) TMI 888 - DELHI HIGH COURT] wherein it was held that for the purpose of imposing penalty u/s.271(1)(c) of the Act, concealment of particulars of income or furnishing of inaccurate particulars of income by the assessee has to be in the income tax return filed by the assessee. The Hon’ble Delhi High Court held that no penalty would be exigible in such scenario. The facts of the case before us are exactly similar and identical to the facts before the Hon’ble Delhi High Court. In the instant case also there is no dispute that assessee had indeed disclosed ₹ 3 Crores additional income in the income tax return filed by it. As decided in Shree Sai Developers [2019 (8) TMI 59 - GUJARAT HIGH COURT] since there was no concealment in the return of income filed by the assessee which was ultimately accepted by the Revenue, there cannot be any levy of penalty u/s.271(1)(c) of the Act. Thus we hold that no penalty u/s.271(1)(c) would be exigible thereof in the hands of the assessee. Accordingly, the grounds raised by the assessee are allowed.
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