2003 (9) TMI 70

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... oner of Income-tax under section 256(1) of the Income-tax Act, 1961 ("the Act" for short). The Income-tax Appellate Tribunal, Ahmedabad Bench "A", has referred the following question for our opinion: "Whether, the Appellate Tribunal is right in law and on facts in cancelling the penalty levied by the Income-tax Officer under section 273(2)(a) amounting to Rs. 15,000 ?" Heard Mrs. M. M Bhatt, le .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ion 37(3A) of the Act but were governed by the exception provided in section 37(30) of the Act. The Income-tax Officer levied a penalty of Rs. 15,000 as against minimum penalty of Rs. 13,878. This order came to be confirmed by the Commissioner of Income-tax (Appeals) in the appeal preferred by the assessee. Being aggrieved the assessee preferred second appeal before the Tribunal being Income-tax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... al had erroneously placed reliance on the assessment order for the assessment year 1979-80 because the said order has been revised under section 263 of the Act. It was further submitted that whether the assessee was under a bona fide belief or not had not been proved by the assessee and the Income-tax Officer had rightly rejected the said plea. The Tribunal has found as a matter of fact that when .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... into consideration was the figure of current income which according to the assessee was the current income at the point of time when it made the estimate of advance tax and not the figure of income ultimately assessed by the Income-tax Officer. That merely because in the assessment at a subsequent date, the assessee is assessed at a higher figure, that by itself is not sufficient to hold that the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... to the facts of the case and the assessee is duly supported by the assessment order for the assessment year 1979-80, i.e., immediately preceding assessment year. In the circumstances, the question referred to us is answered in the affirmative, i.e., in favour of the assessee and against the Revenue. The reference stands disposed of accordingly. There shall be no order as to costs.
Case laws, .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X