TMI Blog2020 (3) TMI 865X X X X Extracts X X X X X X X X Extracts X X X X ..... ident that the Assessing Officer is not certain on the charges the penalty has been levied whether it is concealment of income or furnishing of inaccurate particulars of income. The dictionary meaning of the word conceal is to hide, withdraw or remove from observation ; cover or keep from sight ; to avoid disclosing or divulging . Thus, concealment of particular of income means non-disclosure of particulars of income. On the other hand, where particulars are disclosed but such disclosure is not correct, true or accurate, it would amount to furnishing of inaccurate particulars of income . Thus, the two changes of levy of penalty are different. Hon ble Karnataka High Court in the case of Manjunatha Cotton and Ginning Factory [ 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , we heard all the three appeals together and disposed off by way of this consolidated order for convenience and to avoid repetition of facts. 2. Grounds of appeal in ITA No. 2648/Del/2017 for assessment year 2005-06 is reproduced as under: 1. Under the facts and the circumstances of the case, penalty order passed u/s 271(l)(c) of the Act by the Id. A.O. and confirmed by the Id. CIT(A) is invalid bad in law as from the notice issued u/s 274 r.w.s 271(l)(c) of the Act it is not discemable as to whether the penalty proceedings was initiated for furnishing of inaccurate particulars of income or concealment of income and therefore, the impugned penalty order passed deserves to be quashed. 2. Under the facts and circumstances of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Date of order Amount of penalty levied For Assessment Year 1 10.03.2015 41,23,947/- 2005-06 2. 09.03.2015 84,97,500/- 2009-10 3. 19.03.2015 50,98,500/- 2010-11 3.1 The assessee filed appeals before the Ld. CIT(A) against penalty in all the three assessment years and objected that the Assessing Officer has not specified reasons for levy of penalty under section 271(1)(c) of the Act in the notice issued while initiating the proceedings. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... quate opportunities to prove the genuineness of the alleged transactions of share capital/ share premium money received, but failed to do so, during the assessment proceedings, appellate proceedings, penalty proceedings and also in the appellate proceedings against the penalty order u/s 271(1 )(c) of the Act, therefore, it is clearly established that these transactions relating to share capita! share premium money received, arc not proved to be genuine and the same is the undisclosed income of the appellant itself. Accordingly, it is clear that the appellant has not only concealed the income by furnishing inaccurate particulars, but has also deliberately given wrong verification in the return of income . filed for the A.Y. 2005-06. In these ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... filing inaccurate particulars of income. Extract of chart filed by the assessee for AY 2005-06 is reproduced as under: Income Tax Authority Findings Page No. A.O. order The Ld. AO has stated that: I am satisfied that the assessee has concealed the particulars of its income and for that default penalty proceedings u/s 271(1)(c) of the Act are also being initiated. Para No. 13 of Page No. 5 of the A.O. order Penalty Notice The Penalty notice states that: Whereas in the course of proceedings before me for the A.Y. 2005-06, it appears to me that you have concealed the particulars of you ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er for all the three years the penalty has been initiated for concealment of income whereas in the notices issued for all the three years, penalty has been initiated for concealing the particulars of income or furnishing of inaccurate particulars of the income. We find that in the penalty order the Assessing Officer has held the assessee was liable for penalty for concealing its income by furnishing inaccurate particulars of the income. Thus, it is evident that the Assessing Officer is not certain on the charges the penalty has been levied whether it is concealment of income or furnishing of inaccurate particulars of income. The dictionary meaning of the word conceal is to hide, withdraw or remove from observation ; cover or keep from s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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