Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2019 (1) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (1) TMI 118 - HC - Income TaxPenalty u/s 271(1)(c) - Depreciation on IPRs - assessment u/S. 153A - Held that:- During the search operation, director of the assessee company reduced the claim of depreciation in his statement under Section 132(4) recorded by the Income Tax Authorities. As during such search, no incriminating material was found on the basis of which the assessment could have been framed in this respect - in the original return filed for the assessment year in question, when the claim was made by the assessee, the same was disallowed by AO but in the appeal, the CIT(A) accepted the same. Section 32 does cover certain intangible assets for depreciation. The Tribunal relied upon the decision of the Supreme Court in the case of CIT Vs. Reliance Petro Products Pvt Ltd [2010 (3) TMI 80 - SUPREME COURT] for holding that being a plausible claim, mere fact that the same was withdrawn during the search would not give rise to the penalty. Tribunal has broadly proceeded on the basis that the claim was part of the original return and therefore, there was no concealment by the assessee and further that CIT(A) had allowed such a claim for regular assessment and Section 32 of the Act also gave rise to a debatable issue in this respect. - decided against revenue
|