9911796707
TMI Blog2011 (11) TMI 681X X X X Extracts X X X X X X X X Extracts X X X X ..... n 5 to Sec. 271(1)(c). 2) The Lt. CIT(A) has erred in deleting the penalty levied u/s. 271(1)(c) on the income declared u/s. 153A after holding that the assessee was not entitled to immunity as per explanation 5 to Sec. 271(1)(c)." 2. The relevant facts are that the return of income for the A.Y. 2007-08 under consideration was filed by the assessee u/s. 139 on 4.12.2007 declaring total income of Rs. 11,90,286/- and agricultural income of Rs. 5,40,000/-The total income declared includes the additional income of Rs. 10,00,000/- declared by the assessee u/s. 132(4) of the Act being income from water tanker supply business. The assessee was subjected to search and seizure operation on 22nd November 2006. The A.O assessed the total income of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the A.O. and submissions of the appellant made before me. The additional income of Rs. 10,00,000/- was declared by the appellant in the statement u/s. 132(4) of the Act and the said income is also offered to tax by the appellant in the return of income filed u/s. 139 of the Act. The A.O has also contended that the appellant has not pointed-out the manner in which the said additional income was earned. In fact the A.O has stated in Para 6 of the assessment order the manner which the appellant had claimed to have earned the said income declared. In this regard, it is pertinent to note here that it has been laid down by the Hon'ble Gujarat High Court in the case of CIT vs. Mahendra C. Shah 299 ITR 305 that it is not required to specify the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent u/s. 132(4), where the assets have been acquired by the assessee out of his income which is not disclosed in the return of income to be furnished before the expiry of the time prescribed in Section 139(1) and specified in the statement in the manner in which such income has been derived. We thus find that the A.O has levied the penalty mainly with this allegation that the assessee has not specified in its statement u/s. 132(4) the manner in which such income had been derived. We do not find substance in such view of the A.O since undisputedly, the additional income of Rs. 10,00,000/- was declared by the assessee in his statements u/s. 132(4) of the Act and also offered the same to tax in its return of income filed u/s. 139 of the Act. T ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
