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2020 (10) TMI 353 - ITAT KOLKATAPenalty u/s 271AAB - defective notice - non specification of charge - entries relating to commodity trading profit was not maintained in the regular books of accounts of the assessee AND from the document seized as seen only net earnings were recorded and that there were several such transactions in the month in commodity trading made in cash - HELD THAT:- As relying on SHEVETA CONSTRUCTION CO. PVT. LTD. [2016 (12) TMI 1603 - RAJASTHAN HIGH COURT] penalty in question is bad in law as the show-cause notice issued by the Assessing Officer does not specify the charge/s against the assessee for levy of penalty, as required by law. Thus, on this ground, the penalty is quashed. Section 271AAB of the Act, contemplates imposition of a penalty pursuant to the disclosure of income in statement recorded u/s 132(4) of the Act by the assessee. It is an admitted fact that no such statement has been recorded from the assessee. Thus, on this ground also, the levy of penalty fails. Nowhere in the assessment order it is stated that undisclosed income has been assessed. The assessment was made u/s 143(3) of the Act and the returned income was accepted - we quash the penalty levied u/s 271AAB of the Act and allow this appeal of the assessee.
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