TMI Blog2016 (2) TMI 927X X X X Extracts X X X X X X X X Extracts X X X X ..... e said receipts pertained the character of revenue receipts in the hands of the assessee. It is not in dispute that the said advances were duly adjusted by supply of goods by the assessee before the end of previous year. In these circumstances, we hold that the advance receipt on sale of goods from dealers as deposit and invoking the provisions of section 269SS and 269T is not warranted. - Decided ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and 271E of the Act could be levied in the facts and circumstances of the case. 3. The brief facts of this issue are that the assessee is a distributor of goods like BPL rice, wheat, kerosene oil etc. and supplies the same to its various dealers in and around the locality allotted to the assessee. The assessee had received advances received from 11 parties in cash. Against these advances, the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .JCIT, who in turn issued show cause notices u/s. 271D and 271E of the act for initiating the penalty proceedings for violation of provisions of section 269SS and 269T respectively. The ld. JCIT ignoring the submissions of the assessee proposed to levy the impugned penalties u/s. 271D and 271E of the Act amounting to ₹ 4,68,000/- each. This action of the ld. JCIT was upheld by the ld. CIT(A) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce receipt on sale of goods from dealers as deposit and invoking the provisions of section 269SS and 269T is not warranted. 5. We also find that the ld.AO has not recorded any satisfaction in the assessment order for violation of provisions of section 269SS and 269T of the Act, which is sine qua non before the ld. JCIT proceeded to initiate penalty proceedings u/s. 271D and 271E of the Act. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y proceeding to be initiated under Section 271( 1) ( c ) of the Act. Thus, insofar as penalty under Section 271E is concerned, it was without any satisfaction and, therefore, no such penalty could be levied. These appeals are, accordingly, dismissed. In view of aforesaid facts and findings given thereon and respectfully following the aforesaid decision of the Hon ble Apex Court in the case (r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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