TMI Blog2015 (3) TMI 500X X X X Extracts X X X X X X X X Extracts X X X X ..... of voluntary disclosure of taxable income. The aspect of bonafide or nonconcealment of the income is essentially a question of fact. When the first appellate authority and the second appellate authority, viz., Tribunal which is the ultimate fact finding authority after the consideration of the evidence has found that there was no concealment of the income, further scrutiny by way of reappreciation of evidence in the appeal before this Court would be beyond the scope of the present appeal. - No interference is called for to the impugned order of the Tribunal. - Decided in favour of assessee. - Tax Appeal No. 29 of 2015 - - - Dated:- 16-2-2015 - Jayant Patel And S. H. Vora, JJ. For the Appellants : Mr Manish Bhatt with Mrs Mauna ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he matter was relegated to the AO. Thereafter, AO vide order dated 29.03.2010, found that 100% penalty of the tax amount deserves to be imposed under section 271 (1)(c) of the Income Tax Act, 1961 (hereinafter referred to as the Act ) and hence, imposed penalty of ₹ 1,61,66,230/-. In appeal before the CIT (Appeals), it was found by the CIT (Appeals) that before finalisation of the assessment, assessee had filed the letter on 02.10.2006 with the ITO Ward 1(4) on 03.10.2006 explaining that he had received certain money from different persons in the bank account in his name and that the said persons were not cooperating and therefore, the appellant was advised to offer to tax income based on such bank account transactions by filing revi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n its Books of Account. After the above survey and recording of statement, only the assessee disclosed additional income by way of a revised return on 11-3-2003 and on these circumstances, the Hon'ble High Court found levy of penalty u/s. 271(1)(c) was justified. Thus, it is observed in that case, the assessee disclosed the additional income after the same was detected during the course of the survey by the department. Whereas, in the instant case, there is no such material to show that the department had actually detected any income of the assessee which was not disclosed in the return prior to 31-3-2007, when the assessee disclosed its additional income. 13. On the other hand, we find that the Delhi Bench of the Tribunal in the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ection by the Revenue of concealment. Accordingly, the question of law framed is answered against the revenue and in favour of the assessee. 19. In the instant case, the assessee voluntarily disclosed additional income during the course of assessment proceedings and paid tax thereon. In the light of view taken in the aforesaid decisions, it cannot be said that in the case before us, additional income disclosed during the course of assessment proceedings was not voluntary or that the assessee wanted to conceal the income. Even though the revised return was found to be invalid, the A.O. accepted the income as declared in the revised return and computation. The A.O. did not bring any material on record that the declaration of income made b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dditional income in the subsequent return vide letter dated 02.10.2006. Had the letter not inwarded and it was mere say coupled with the aspect that no such letter was available as per AO in the file, matter may be different but when the letter was already inwarded, whether it was sent to the AO by the concerned office would not impair the aspect of bonafide or the aspect of voluntary disclosure of taxable income. Once the bonafide is found of voluntary disclosure of the income, that too in the first appeal by CIT (Appeals), the view taken by the Tribunal, may be by referring to the decision of the Jharkhand High Court, without any reference to the letter dated 02.10.2006 inwarded on 03.10.2006, would not be sufficient to conclude that the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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