Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (12) TMI 968 - AT - Income TaxEstimation of income - bogus purchases - CIT-A restricted the disallowance @12.5% - HELD THAT:- CIT(A) considered the factual aspects and dealt on the provisions of the Sales Tax Act and relied on the decision of Hon’ble Tribunal in assessee’s own case and partly allowed the appeal. The Ld. DR could not controvert the findings of the CIT(A) with any cogent material or new information and relied on the order of the Assessing officer. We do not find infirmity in the order of the CIT(A) and upheld the same and dismiss the grounds of appeal of the revenue. Penalty u/s 271(1)(c) - CIT(A) has estimated the income at 12.5% of the bogus purchases and the addition was accepted by the assessee - HELD THAT:- We are of the opinion that, when the addition is sustained on estimation/ adhoc basis, no penalty u/s 271(1)(c) of the Act can be levied. We find that the LdCIT(A) relied on the Coordinate Bench of Hon’ble tribunal decisions and passed a reasoned order in directing the Assessing Officer to delete the penalty. Accordingly, we are not inclined to interfere with the order of the Ld CIT(A) and upheld the same and dismiss the grounds of appeal of the revenue.
|