TMI Blog2003 (10) TMI 282X X X X Extracts X X X X X X X X Extracts X X X X ..... 92. So, they are being disposed of by this common order for the sake of convenience. 2. The brief facts of both the cases are almost identical. The assessee is a Development Officer in LIC. During the years under consideration, the assessee worked as an agent upto 4th July, 1991. During asst. yrs. 1991-92 and 1992-93 he earned commission from LIC of India of Rs. 1,49,210 and Rs. 1,77,442, respec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gus. The learned CIT(A) dismissed the appeals filed by the learned CIT(A) (sic-assessee). On further appeal, the Tribunal estimated the income of assessee for both the years after applying the NP rate of 40 per cent of total commission receipts. Penalty was levied under s. 271(1)(c) for Rs. 50,000 and Rs. 50,000, respectively, and the learned CIT(A) reduced the penalty to minimum, i.e., Rs. 21,567 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ignored the statement recorded by the AO during the assessment proceedings on 1st Dec., 1992. The AO nowhere denied the correctness of the depositions made by the assessee in this statement. The learned authorised representative further submitted that assessment and penalty proceedings are separate and distinct from each other and for a penalty, the AO must bring more material to establish positiv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r, we are of the opinion that the additions in question were made on estimate basis. The expenses have been disallowed on the basis of statements recorded during the course of survey. On both the counts, either on addition of estimate basis or disallowance of expenses claimed cannot be made the basis for levy of penalty unless the case of the assessee falls under either concealment of income or ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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