TMI Blog2015 (8) TMI 558X X X X Extracts X X X X X X X X Extracts X X X X ..... ct that the amount of ₹ 9,22,810/- was collected. Obviously with a view to purchase peace and to avoid a delicate situation before the competitors in the field, the appellant filed a revised return showing the income, after deducting the expenditure. That was accepted. Here itself, it needs to be mentioned that though the Department pointed out that even after the revised return was filed, a sum of ₹ 5,30,790/- was not included, ultimately, an order under Section 143(3) of the Act was passed accepting the facts and figures furnished by the appellant. This only indicates that the figures mentioned, on the basis of survey, were not accurate. The levy of penalty cannot be resorted to as a matter of course. An assessee can be mad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 20,000/- towards unapproved expenditure. The Assessing Officer initiated proceedings under Section 271(1) (c) of the Act and sought to impose penalty. The appellant filed an explanation stating the circumstances under which the revised return had to be filed. The explanation was not accepted and an order was passed imposing the penalty of ₹ 73,578/-. An appeal was filed before the Commissioner (Appeals) aggrieved by the order of penalty. The Commissioner allowed the appeal through order, dated 28.01.1997 taking the view that there was no justification for levying the penalty in the facts of the case. The Revenue filed I.T.A.No.640/H/97 before the Tribunal. The appeal was allowed by the Tribunal. Hence, this further appeal. H ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a particular way, itself would lead to a considerable difference as to the income or the corresponding tax. The very fact that quite large number of remedies in the form of appeals at various stages is provided for, discloses that even the understanding of the assessing or adjudicatory authorities; not absolute. The levy of penalty is not going to leave the matter at that. It would expose the assessee to prosecution also by treating him as an economic offender. An assessee can be made to suffer such far reaching consequences, if only facts of the case support, and it emerges that the assessee had a clear intention to suppress the income. We do not find such elements in the instant case. The appeal is accordingly allowed and the order of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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