TMI Blog2012 (11) TMI 411X X X X Extracts X X X X X X X X Extracts X X X X ..... was not bona fide. It is a case of difference of opinion between the assessee and the Revenue regarding allowability of certain claim of expenses claimed by the assessee, as an allowable deduction out of its taxable income. In these facts of the case, the penalty levied was rightly deleted by the CIT(A) by observing that the expenses were claimed by the assessee under a bona fide belief that such expenses were allowable expenses to the assessee - in favour of assessee. - IT(SS)A No.57/Ahd/2009 With CO No.265/Ahd/2009 - - - Dated:- 5-10-2012 - S/SHRI G.C. GUPTA, AND ANIL CHATURVEDI, JJ. Revenue by: Shri D.K. Singh Assessee by: Shri Aseem Thakkar O R D E R PER G.C. GUPTA, VICE-PRESIDENT: This appeal by the Revenue an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he learned counsel for the assessee has opposed the submissions of the learned counsel for the assessee. He submitted that all material facts were disclosed at the time of filing of the return. Moreover, in subsequent years on the similar facts, the educational expenses of the son of the assessee were disallowed by the department, but no penalty under section 271(1)(c) of the Act was initiated, and there was no valid reason for taking a different stand in the relevant year. He has filed copies of the assessment order framed in scrutiny assessment under section 143(3) of the Act for the assessment years 2001-2002 and 2002-2003, wherein the education expenses of the son were disallowed, but no penalty under Section 271(1)(c) of the Act was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, as an allowable deduction out of its taxable income. In these facts of the case, we hold that the penalty levied under Section 271(1)(c) was rightly deleted by the CIT(A) by observing that the expenses were claimed by the assessee under a bona fide belief that such expenses were allowable expenses to the assessee. In this view of the matter, we dismiss the grounds of the appeal of the Revenue. CO No.265/Ahd/2009 (Assessee s CO) 6. The grounds of the CO of the assessee are as under: 1. The learned Commissioner of Income fax (Appeals) has erred in confirming the levy of minimum penalty us/.271(1)(c) rws.158BF(2) of the Act, on the amount of Rs.1,19,571/- being the balance amount out of the total expenses/additions made of Rs.6,3 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
