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TMI Blog2010 (6) TMI 501X X X X Extracts X X X X X X X X Extracts X X X X ..... inter alia, investment, horse breeding, and horse racing. In the course of assessment proceedings, the Assessing Officer noted that the assessee has incurred certain expenses for maintaining horse races for running in horse races. These expenses were quantified at Rs. 56,44,906, though in appeal the quantum of these expenses was reduced to Rs. 18,25,828. The Assessing Officer further observed that, in terms of provisions of Section 74A of the Income Tax Act, the expenses so incurred on maintenance of race horses could only be set off against gains from race horses. On this basis, the expenses were disallowed in computation of business profits, though carried forward to be set off against gains, if any, from horse racing in ensuing assessmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e said that the assessee has concealed any particulars. The expression 'furnishing of inaccurate particulars of income' has also not been defined in the Act. The expression 'inaccurate' refers to 'not in conformity with the fact or truth' and that is the meaning which, in our considered view, is relevant in the context of 'furnishing of inaccurate particulars'. The expression 'particulars' refers to 'facts, details, specifics, or information about someone or something'. Therefore, the plain meaning of the expression 'furnishing of inaccurate particulars of income' implies furnishing of details or information about income which are not in conformity with the facts or truth. The details or information about income deal with the factual detail ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aking a claim, which is found to be unacceptable in law, cannot be treated as furnishing of inaccurate particulars of income. In this view of the matter, the case of the assessee cannot be said to be a case of 'furnishing of inaccurate particulars of income', in its natural sense, either. This school of thought has now been confirmed by the Hon'ble Supreme Court, in the case of Reliance Petrochem Limited Vs CIT ( 322 ITR 158 ) wherein Their Lordships were concerned with the question whether "in this case, as a matter of fact, the assessee has given inaccurate particulars", as has been the question in the present case, and it is in this context that Their Lordships noted that "in this case, there is no finding that any details supplied by th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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