TMI Blog2009 (12) TMI 669X X X X Extracts X X X X X X X X Extracts X X X X ..... assessment year with specific requirements to be complied with. The compliance must have relevance to the assessment year in question and it must have apparent nexus with the assessment for that assessment year to be framed. General information sought may not be relevant for any particular assessment year. In addition, adequate time should be given to the assessee for making compliance. The notices were issued on 14-8-2007 in some cases and compliance were required to be made by 24-8-2007. Thereafter the Assessing Officer proceeded to initiate the penalty proceedings. In our considered view, it is against the principles of natural justice as no reasonable opportunity is given to them for making compliance of the information sought. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the orders of the learned Commissioner of Income-tax (Appeals) confirming the levy of penalties under section 271(1)( b ) of the Income-tax Act, 1961 ["the Act" for short], filed by the respective assessees for assessment years 2000-01 to 2006-07. As the circumstances leading to the levy of penalties are the same, the reasoning advanced by the Assessing Officer for levy of penalty and by the learned Commissioner of Income-tax (Appeals) for confirming the penalties are the same, they are disposed of together for the sake of convenience. 2. The undisputed facts leading to the levy of penalty are that a search and seizure action in the cases of assessee-group was conducted on 18-1-2006. Notice under section 153A was also issued for filing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ars from assessment years 2000-01 to 2006-07 for non-compliance of notice under section 271(1)( b ). 3. The learned Commissioner of Income-tax (Appeals) presumed that the notice under section 142(1) was issued on 14-8-2007 to all the assessees requiring each of them to furnish the details on 27-8-2007 for each of the assessment years. He, accordingly, confirmed the penalties in case of each of the assessees and for each assessment year. 4. Before us, the learned AR submitted that the notice under section 142(1) was issued to all the four persons, viz., Shri Kaushal M. Khanna, Sangeetaben K. Khanna, Madanlal M. Khanna and Swarnaben M. Khanna for assessment year 2006-07 only. However, in addition to this, the ld. Assessing Officer h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... formation. Shri Kaushal Khanna on behalf of all the other family members went to the office of the Assessing Officer, and submitted an adjournment application which was received by the office of the Assessing Officer but there was no response on this notice. The assessees thereafter received show-cause notice for levy of penalty and for that also adequate time was not given to furnish any explanation. The notice for levy of penalty was issued on 11-9-2007 and penalty was levied on 18-9-2007. It was not practically possible to comply either with the notice, letter or show-cause notice. Further, the learned AR submitted that the assessee had changed the counsel as earlier counsel was not attending to the requirements of Income-tax Department ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt year. In addition, adequate time should be given to the assessee for making compliance. The notices were issued on 14-8-2007 in some cases and compliance were required to be made by 24-8-2007. Thereafter the Assessing Officer proceeded to initiate the penalty proceedings. In our considered view, it is against the principles of natural justice as no reasonable opportunity is given to them for making compliance of the information sought. For the sake of convenience, we refer to the compliance sought by the Assessing Officer vide letter dated 14-8-2007 containing five pages from Shri Kaushal M. Khanna as similar compliance was sought by him from others as well. If there is apparent impossibility of compliance or compliance could take natu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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