TMI Blog2017 (6) TMI 452X X X X Extracts X X X X X X X X Extracts X X X X ..... h A. Y. CIT(A) has properly taken note of all these relevant facts, legality of notices, nature of noncompliance and its adverse impact on investigations related to alleged undisclosed HSBC bank account. We find no infirmity in the order of Ld. CIT(A) confirming the imposition of penalty of ₹ 30,000/- each in above assessment years as defaults are more than 3 times. It has been rightly held that there is no law that for each default separate notice u/s 27(1)(b) should be issued on defaulting assessee. The orders of ld. CIT(A) being justified on proper appreciation of facts and law and based. In the result, assessee’s appeals are dismissed. - ITA No. 5157-5162/Del/2014 - - - Dated:- 8-6-2017 - Sh. Ramesh. P. Tolani, Vice Presiden ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (1) along with questionnaire dated 13.5.2013 were served on the assessed for hearing on 30.5.2013 alongwith details and evidence. Assessee did not comply; thereafter further reminders for hearings were issued on 02.05.2013, 12.06.2013 and 11.07.2013. Since the assessee did not comply with all these statutory notices, show cause notices u/s 271(1)(b) read with section 274 were issued in accordance with I T Act. 4. In response to penalty notices, assessee of notices vide reply dated 01.10.2013 challenged the legality and claimed that no evidence as alleged was called for by AO. The replies were found to be non satisfactory and penalty at ₹ 30,000/- for each assessment year was imposed by ld. AO for repetitive defaults. 5. Aggr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... osed for such failure u/s 271(l)(b). One of the objections raised by the appellant is that the show-cause notice was only in regard to the notice dated 11.07.2013 and not in regard to the earlier notices dated 02.05.2013 and 12.06.2013. As the defaults of the appellant were continuing defaults, the appellant was given one more opportunity during this appeal also, and a show-cause notice was issued to him on to explain as to why penalty should not be levied for failure to submit the information sought vide the three notices issued by the revenue. Till date, the appellant has not furnished the information sought in the said three notices nor filed the consent documents. Thus, there is no basis to conclude that the penalty was imposed without ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring or keeping funds overseas in an illicit manner. These persons suspected of having opened and maintained undisclosed bank account overseas, were required to sign and execute / notarize the consent letter to verify the truth of the allegation against them. It is the duty of every citizen of India to cooperate with and join the investigation to ascertain the truth regarding cases with such serious allegation. The purpose of the penal provision contained in section 271(1 )(b) is to ensure compliance to tax enquiry / investigation. This penalty is attracted where there is failure to comply with notices u/s 142(1) or u/s 143(2). In criminal law, similar provisions are contained in Sections 160 and 161 in the Code of Criminal Procedure, 1973 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , whose details were not disclosed to the Income Tax Department. During the course of these assessment proceedings the assessee deliberately adopted a non-cooperative attitude to ward off the necessary inquiries and investigation by the Income Tax Department. Ld. CIT(A) has made detailed observations in this behalf and deliberated on the consequent impact of non-cooperative attitude of the assessee in necessary investigations about the undisclosed HSBC Bank Accounts. In penalty proceedings also the assessed adopted a rigid attitude and went on challenging the legality of the notices and refusing to furnish any satisfactory reply. The notices issued being statutory were supposed to be diligently complied with by assessee in terms of IT Act. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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