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2016 (4) TMI 942 - AT - Income TaxPenalty u/s 271(1)(c) - claim made by the assessee that the interest on the Non-resident Non-repatriable account deposits is exempted from taxation - Held that:- The assessee filed the return of income in the status of 'resident'. In the note filed alongwith the return of income, the assessee claims that he was a 'non-resident' upto assessment year 2001-02. The assessee has also indicated in the note filed alongwith the return of income that the investment made in the securities and bank deposits are out of the remittance made from abroad. AO, after examining the claim of the assessee, found that the interest from the maturity of Non-resident Non-repatriable account deposits is not entitled for exemption u/s 10(4) of the Act. Accordingly, the interest on the Non-resident Non-repatriable account deposits was added to the total income. The Assessing Officer has also levied penalty u/s 271(1)(c) of the Act on the ground that the claim made by the assessee that the interest on the Non-resident Non-repatriable account deposits is exempted from taxation. This Tribunal is of the considered opinion that after furnishing all the details for making a claim before the Assessing Officer under the Income-tax Act, 1961, cannot be construed as furnishing inaccurate particulars of income. The details of deposits made by the assessee and the interest accrued on such deposits are very much available before the Assessing Officer. During the course of assessment proceedings, the assessee claimed that interest on such deposit is exempt from taxation. This Tribunal is of the considered opinion that this claim cannot be construed as furnishing of inaccurate particulars of income in view of the judgment of the Apex Court in Reliance Petroproducts Pvt. Ltd. (2010 (3) TMI 80 - SUPREME COURT ). - Decided in favour of assessee
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