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2023 (11) TMI 849 - ITAT JAIPURLevy of penalty u/s. 271(1)(c) - income surrendered while filling the return of income in response to notice u/s. 153A - addition of short term capital gain voluntarily surrendered for taxation in the assessment proceedings by filing revised computation of income - HELD THAT:- As relying on Kirit Dahyabhai Patel case [2015 (1) TMI 201 - GUJARAT HIGH COURT] assessee has surrendered the income while filling the return of income in response to notice u/s. 153A of the Act and even on the small addition made in the assessment proceeding was also pursuant to the revised computation of income filed by the assessee in the assessment proceeding for which the ld. AO did not find any fault and the nature of income added are short term capital gain of minor amount, small amount of rent and interest income on deposit. The assessee has surrendered all these amount for tax by revising the computation of income in the assessment proceeding. This act of the assessee cannot be considered with that of the case where the amount added in the finalizing the assessment by the assessing officer and the assessee has not willingly not disclosed. Thus, the charge of providing concealment of income or furnishing of inaccurate particular of income which was done with deliberate, willful or mala fide intention is not seen in this case. As such the same was not shown due bona-fide error which the assessee corrected voluntarily in the assessment proceedings by filling the revised computation of income. Therefore, in this facts and circumstances, it cannot be held that the assessee has concealed his income and liable to penalty under section 271(1)(c) - we also find support and guidance from the judgment of Gujarat State Electricity Corporation Ltd [2022 (10) TMI 1052 - GUJARAT HIGH COURT] wherein held that in no penalty can be imposed where the assessee made bona fide mistake and corrected the same on realization of mistake. We find that the assessee under the bona fide belief not offered income on short term capital gain which has been corrected in the assessment proceeding by filling the revised computation of income and the same is not disputed further. Thus, there was no will full attempt of the assessee to conceal his income. Penalty deleted - Decided in favour of assessee.
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