TMI Blog2012 (11) TMI 1137X X X X Extracts X X X X X X X X Extracts X X X X ..... in this appeal:- 1. On the facts and in the circumstances of the case and in law the learned CIT (A) erred in deleting the penalty of ₹ 13,53,417/- imposed u/s 271(l)(c) of the Income Act Act, 1961. 2. On the facts and in the circumstances of the case and in law the learned CIT (A) erred in deleting the penalty of ₹ 13,53,417/- imposed u/s 271(l)(c) of the Income-tax Act, 1961 without appreciating the fact that the penalty was leviable on the additions made to the returned income as computed under the Income-tax Act and it had no relevance with the payment of tax u/s 115JB on the book profits. 3. The decision of the Hon'ble Delhi High Court in the case of CIT Vs. Nalwa Sons Investments Ltd. reported in 327 ITR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... No. 18564/2011 in the case of Commissioner of Income Tax vs M/s Nalwa Sons Investments Ltd. Dismissing the special leave petition of the revenue, the assessee s representative also submitted a copy of the order of Hon ble Jurisdictional High Court of Delhi in the case of Commissioner of Income Tax vs Nalwa Sons Investment Ltd. (2010) (327 ITR 543(Del). The assessee s representative also submitted a copy of order of Delhi H Bench passed in assessee s own case in ITA No.4051/Del/2009 for AY 2001-02 dated 23.04.2010. 6. The assessee s representative submitted that the revenue s SLP in the case of M/s Nalwa Sons (supra) has been dismissed by the apex court confirming the order of Hon ble Delhi High Court in respect of deletion of penalty. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ofits are deemed as the total income of the assessee in terms of section 115JB of the Act. Where the income computed in accordance with the normal procedure is less than the income determined by legal fiction, namely, the book profits under section 115JB of the Act and the income of the assessee is assessed under section 115JB and not under the normal provisions, the tax is paid on the income assessed under section 115JB of the Act. Concealment of income would have no role to play and would not lead to tax evasion. Therefore, penalty cannot be imposed on the basis of disallowances or additions made under the regular Provisions. 9. In assessee s own case ITAT, Delhi Bench H , in its order in ITA No. 4051/Del/2009 dated 23rd April, 2010 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 10. Apropos ground no.1, in view of above judgment of Hon ble Jurisdictional High Court in M/s Nalwa Sons (supra) and the judgment of ITAT Delhi H Bench in assessee s own case in ITA No. 4051/Del/2009 (supra), we observe that the issue of penalty levied on the assessee is squarely covered by the above judgment and we have no reason to interfere with the order of the Commissioner of Income Tax(A) in this regard. Ground No. 2 3 11. Apropos ground no. 2 and 3, we hold that since the preliminary issue of legality of levying of penalty on the assessee is decided in favour of the assessee and against the revenue appellant, these grounds became academic and in view of dismissal order of Hon ble Apex Court (supra), these grounds do no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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