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2022 (7) TMI 623 - ITAT CUTTACKPenalty u/s 271F - failure to file the return of Income within the assessement year - assessee having two PAN - HELD THAT:- Assessee has filed her return of income at one place i.e. at Kolkata under her PAN AxxxxxxxxB and the transactions done under PAN AxxxxxxxxF are also duly reported and disclosed in the said return of income. No doubt has been shown by the revenue authorities on this contention of the assessee that the assessee has filed its return of income and also the assessee has substantiated the same by providing copies of the same to the revenue authorities during the assessment proceedings. Assessee has also taken the steps to surrender another PAN issued to her to show her bonafide intentions towards the tax compliance. Therefore, we are of the considered view that return of income was duly filed by the assessee and transaction under question were also disclosed which are subject to assessment by the AO, so penalty u/s 271F for failure to furnish the return of income u/s 139(1) of the act cannot be imposed on the assessee hence grounds of the assessee are decided in favour of the assessee, orders of the revenue authorities’ are set aside being against the principal of natural justice based on technicalities without proper consideration to the merits of the case. Thus, in our view penalty levied u/s. 271F of the Act is invalid. Penalty proceedings u/s 272A(1)(d) - HELD THAT:- Penalty under section 272A (1)(d) can only be imposed on an assessee if the assessee fails to comply towards the notice issued under sub-section (1) of section 142 or sub-section (2) of section 143 of fails to comply with a direction issued under sub-section (2A)of section 142. However in the present case the assessee has shown a responsible conduct at all the times by responding towards the notices issued hence penalty under section 272A (1)(d) cannot be imposed. Accordingly ground rose under appeal No 91/CTK/2021 are allowed to the assessee, orders of the revenue authorities’ are set aside. Thus, in our view penalty levied u/s. 272A(1)(d) of the Act is unsustainable. The Assessing Officer is directed to delete the penalty - Appeal of assessee allowed.
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