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2022 (12) TMI 36 - AT - Income TaxPenalty levied u/s. 271D - contravention of provisions of section 269SS - assessee had taken loan from his brother and his mother in cash for the purpose of purchase of residential property - amount of loan or deposit so taken or accepted in cash - HELD THAT:- In the case of Smt. Meera Devi Kumawat [2021 (10) TMI 967 - ITAT JAIPUR] where assessee received substantial amount of cash from her husband for purchase of plot and construction of residential house on it, since repayment of said amount was not mandatory and there was no element of interest, and pooling of family funds was done by assessee due to family requirement and as she did not have any known sources of funds, no penalty could be levied u/s 271D for violation of section 269SS. In view of the decision of the jurisdictional Gujarat High Court in the case of Dr. Rajaram L. Akhani [2016 (6) TMI 1051 - GUJARAT HIGH COURT] and Smt. Meera Devi Kumawat [2021 (10) TMI 967 - ITAT JAIPUR] and other case laws cited above, as applicable to the facts of the case, in our view, receipt by the assessee from his mother and brother is concerned, in our view the provisions of section 269SS / 271D of the Act do not stand attracted. There is nothing on record to show that the amount was taken as a loan or deposit by the assessee from his mother/brother and also there is nothing on record to establish that the assessee was under an obligation to repay that the same (with our without interest) and therefore in view of the judicial precedents cited above, in our view provisions of section 269SS and 271D cannot be invoked for the amount - Accordingly, in the instant facts, penalty under section 271D is not liable to be levied. Appeal of the assessee is allowed.
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