TMI Blog1998 (4) TMI 30X X X X Extracts X X X X X X X X Extracts X X X X ..... ment so submitted was changed suiting to the exigencies of the situation. The Assessing Officer, on the seized materials during the course of search, came to the conclusion that there was either concealment of income or inaccurate particulars of such income. Consequently, he made an addition of Rs. 2 lakhs for the assessment year 1981-82 to the assessee's income, as the income from undisclosed sources. He also added a sum of Rs. 1,11,000 being the interest income. The assessee challenged the abovesaid additions, by preferring an appeal before the Commissioner of Income-tax (Appeals), Madras (the CIT (A)). Before the Commissioner of Income-tax (Appeals), the assessee was not successful as relatable to the addition of Rs. 2 lakhs to h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ome to the tune of Rs. 2 lakhs from undisclosed sources and also interest income to the tune of Rs. 64,042. In fact, a notice has been issued to the assessee calling for his objections to the proposals for the levy of penalty under section 271(1)(c) of the Income-tax Act. The assessee kept mum and did not at all reply. In such a situation, the Assistant Commissioner of Income-tax, Central Circle I(4), Madras-34, came to the conclusion that the levy of penalty under section 271(1)(c) of the Income-tax Act was called for and imposed a minimum penalty of Rs. 1,29,936. The assessee faced colossal failure in the appeals, he preferred before the Commissioner of Income-tax (Appeals) and the Tribunal, as relatable to the imposition of levy of p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax (Appeals) and the Tribunal as well for the assessment year 1981-82 ? (2) Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee was guilty of concealment of income to the tune of Rs. 2,64,042 for the assessment year 1981-82 ?" Section 271(1)(c) of the Income-tax Act, relevant for our present purpose, reads as under : "271. Failure to furnish returns, comply with notices, concealment of income, etc.---(1) If the Income-tax Officer or the Deputy Commissioner of Income-tax (Appeals) or the Commissioner (Appeals) in the course of any proceedings under this Act, is satisfied that any person---... (c) has concealed the particulars of his income or furnished inaccurate particulars ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on of Rs. 2 lakhs to his income from undisclosed sources, though he was successful in getting deletion of Rs. 1,11,000 being the interest income. In the further appeal he has made, as respects the addition of Rs. 2 lakhs to his income from his undisclosed sources, the pity is that he had conceded before the Commissioner of Income-tax (Appeals) that he was not pressing the appeal and, consequently, the appeal was dismissed. That is a clear indication of his admission of concealed income to the tune of Rs. 2 lakhs being added to his income for the assessment year 1981-82. The Revenue, on its part, before the Tribunal conceded that the assessable income in the hands of the assessee as relatable to the interest was only to the tune of Rs. 64, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
