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2015 (6) TMI 386 - AT - Income TaxPenalty under section 271(1)(c) - inaccurate particulars of income in respect of “on money’’ received from each member for booking 108 flats - Held that:- No inaccuracy in the particulars of income of ₹ 7.80 crores being "on money" could be established by the Assessing Officer by bringing on record any relevant material. The amount of income and the nature of income as disclosed by the assessee was accepted by the Assessing Officer on assessment. Thus no inaccuracy or falsity in the particulars furnished by the assessee was found by the Assessing Officer. The case of the Assessing Officer is that further more details in respect of the income which was desired by the Assessing Officer could not be furnished by the assessee and therefore for this failure of the assessee he levied penalty under section 271(1)(c) of the Act. In our considered view for such a failure penalty under section 271(1)(c) cannot be levied. Penalty under section 271(1)(c) can be levied only for either concealment of income or for furnishing inaccurate particulars of income. Therefore, the Commissioner of Income-tax (Appeals) was not justified in confirming above levy of penalty. Further explanation 4 to section 271(1)(c) explains the procedure to calculate the quantum of tax sought to be evaded and therefore, in a case where returned income and assessed income are same, no penalty under section 271(1)(c) can be levied with the help of provisions of explanation 4 to section 271(1)(c) of the Act. - Decided in favour of assessee.
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