TMI Blog2017 (4) TMI 811X X X X Extracts X X X X X X X X Extracts X X X X ..... r of the CIT(A) and quash the penalty in the hands of the assessee. - Decided in favour of assessee - I.T.A. No. 55/Mum/2016 - - - Dated:- 12-4-2017 - SHRI R.C. SHARMA, AM AND SHRI RAVISH SOOD, JM For The Appellant : Shri. Anuj Kisnadwala For The Respondent : Shri. M.C. Omi Ningshen ORDER PER RAVISH SOOD, JUDICIAL MEMBER The present appeal is directed against the order passed by the CIT(A)-53, Mumbai, dated 30.09.2015, which in itself arises from the order passed by the A.O under Section 271(1)(c) of the Income-tax Act, 1961 (for short Act ), dated 22.03.2013. The assessee assailing the order of the CIT(A) who had confirmed the penalty imposed by the A.O under Section 271(1)(c), had therein raised the following ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ₹ 3,48,202/-, therein being of the view that the aforesaid deduction was not available in respect of Income from other sources , thus inter alia made an addition of ₹ 3,48,202/- and assessed its income at ₹ 21,69,326/-. The A.O during the course of the assessment proceedings holding a conviction that the assessee had raised a false claim by claiming deduction under Sec. 80IB(10) in respect of its Income from other sources , therefore alleging furnishing of inaccurate particulars of income in respect of the deduction claimed by the assessee under Section 80IB(10) on the aforesaid amount of ₹ 3,48,202/-(supra) therein initiated penalty proceedings under Sec. 271(1)(c). 3. The A.O. issued a notice under Secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... see taking support of a host of judicial pronouncements therein submitted before the CIT(A) that as the complete details pertaining to the process of computing and raising of the consequential claim of deduction under Section 80IB(10) was furnished by the assessee in its Computation of income , as well as the Audit report filed along with its return of income, therefore the same to the most being in the nature of a misconceived claim raised on the basis of facts which were fully disclosed in the return of income, thus did not call for imposition of penalty under Sec. 271(1)(c) in the hands of the assessee. The assessee further in order to drive home his aforesaid contention that the claim under Section 80IB(10) in respect of the interest ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rwoven with the business of the assessee, was thus eligible for claim of deduction under Section 80IB(10), had thus being prompted by such belief had included the same in its business income while computing the deduction under Sec. 80IB(10). It was submitted by the Ld. A.R. that the aforesaid claim was supported on the basis of the Auditors report given by a Chartered accountant, and the complete details as regards the computation of the said deduction, therein revealing inclusion of the aforesaid income from other sources of ₹ 3,48,202/- while computing the deduction under Sec. 80IB(10) were available before the A.O. It was submitted by the ld. A.R that making of a claim by the assessee on the basis of complete facts disclosed in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... siness income and claimed deduction under Section 80IB(10) on the same. We find that there is no dispute on the fact that the aforesaid interest income of ₹ 3,48,202/- had been included by the assessee in its business income for computing the deduction under Section 80IB(10), and the said process of computation was fully disclosed by the assessee in the Computation of income filed along with its return of income, as well as the Audit report , which formed part of the latters return of income. We thus are of the considered view that now when the complete facts and details as regards inclusion of the interest income of ₹ 3,48,202/- in the business income of the assessee for claim of deduction under Section 80IB(10) was d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aim for deduction under Section 80IB(10). We further find that as the complete facts and details therein revealing the inclusion of the aforesaid interest income in the course of computing the aforesaid deduction under Section 80IB(10) was duly furnished by the assessee along with its return of income, which details were at no stage found to be inaccurate. We thus in the backdrop of the aforesaid facts are of the considered view that on account of the bonafide claim of deduction raised by the assessee on the basis of fully disclosed facts in the return of income, penalty under Section 271(1)(c) of the Act was liable to be imposed in the hands of the assessee. That our aforesaid view is fortified by the judgment of the Hon ble Supreme C ..... X X X X Extracts X X X X X X X X Extracts X X X X
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