New User   Login      
Tax Management India .com TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2016 (7) TMI 208 - RAJASTHAN HIGH COURT

2016 (7) TMI 208 - RAJASTHAN HIGH COURT - TMI - Penalty u/s 271D and 271E - assessee has accepted the deposits from its employee and members in cash, in violation of provisions of Section 269SS and 269T - ITAT deleted the penalty - Held that:- All the members are agriculturists and having income from the agricultural activities. It has come on record that the members of the society mostly reside in village, which do not have any banking facility. The specific stand of the assessee before the AO .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

and taken by the assessee, however, the CIT (A) and ITAT have concurrently found that the assessee, a cooperative society, working in remote area, ignorant about the relevant provisions, accepted the funds received as amanat rashi under the bona fide belief that the same do not constitute deposit or loan. The CIT (A) and ITAT have found the explanation furnished by the assessee in detail, as constituting reasonable cause in terms of provisions of Section 273B of the Act and thus, the finding arr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

is appeal is directed against order dated 16.1.13 of Income Tax Appellate Tribunal (ITAT), Jodhpur Bench, whereby the appeal preferred by the Revenue against the order of Commissioner of Income Tax (Appeals) [CIT(A)], Jodhpur dated 14.5.12, for the assessment year 2005-06, cancelling the penalty imposed by the Assessing Officer (AO), under Section 271D and 271E of the Income Tax Act, 1961 (for short the Act ), has been dismissed. 2. The relevant facts are that during the course of assessment pro .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e society do not constitute loan or deposit, which is required to be accepted by account payee cheque or draft, was not found acceptable by the AO. Accordingly, the AO while holding the assessee guilty of violation of provisions of Section 269SS and 269T, vide order dated 31.3.11, imposed the penalty upon the assessee of ₹ 13,00,580/- each under Section 271D and 271E of the Act. 3. Aggrieved thereby, an appeal preferred by the assessee was allowed by the CIT(A), observing that the AO has n .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he deposit accepted by the assessee from its employee and members, constitute loan and the assessee cannot escape the liability of penalty, stating that the deposit receipt was only amanat rashi. Learned counsel submitted that the refund of the amount does not dilute the default and thus, the ITAT was not justified in confirming the order passed by the CIT(A). Learned counsel would submit that admittedly, the assessee has violated the provisions of Section 269SS and 269T and therefore, it cannot .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version