Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (10) TMI 674 - AT - Income TaxPenalty u/s 271(1)(c) - defective notice u/s 274 - whether notice issued by the ld. A.O. was 'vague' and also because the 'charge' was not specified? - HELD THAT:- We are of the view that penalty u/s 271(1)(c) of I.T Act levied by AO has no legs to stand at present, when the corresponding Assessment Order has already been quashed by Ld. CIT(A) holding that the additions made in the assessment order cannot survive. When the assessment order has been quashed, and the additions made therein do not survive; the penalty levied u/s 271(1)(C) of I.T. Act on the corresponding quantum additions also cannot survive. We take support from judicial precedent in the case of K.C. Builders [2004 (1) TMI 7 - SUPREME COURT] wherein as held that where the additions made in the Assessment Order, on the basis of which penalty for concealment was levied, are deleted, by ITAT or otherwise, the penalty cannot stand by itself and is liable to be cancelled - Decided in favour of assessee.
|