TMI Blog2020 (10) TMI 1081X X X X Extracts X X X X X X X X Extracts X X X X ..... essee had brought out all the facts before the Revenue along with the return of income. Therefore, at the most it can be only treated as a claim of the assessee which may not be sustainable in law. We are of the considered view that the ratio laid down in the case of CIT vs. Reliance Petroproduct (P.) Ltd [2010 (3) TMI 80 - SUPREME COURT ] will be squarely applicable to the case of the assessee wherein held Merely because the assessee had claimed the expenditure, which claim was not accepted or was not acceptable to the revenue, that, by itself, would not attract the penalty under section 271(1)(c) - Decided in favour of assessee. - ITA No.1012/Hyd/2013 - - - Dated:- 8-10-2020 - Smt. P. Madhavi Devi, Judicial Member And Shri A. Mo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hown under the head income from other source. On query, it was explained by the assessee that the interest income earned by the assessee was netted off and the netted amount was shown in Schedule-5 of the Balance Sheet as Pre-operative Expenses pending allocation. The assessee also placed reliance on the decision in the cases, CIT vs. Bokaro Steels Limited reported in 236 ITR 315 (SC), Indian Oil Panipat Power Consortium Limited vs. ITO reported in 315 ITR 255 (Delhi), ITAT decision in the case of M/s. Tirumala Hydel Power Projects Ltd in ITA No.640V/2004, Continental Construction Ltd vs. CIT (1992) 195 ITR 81/60 Taxman (SC), H.K. (Investment) Co. (P) Ltd vs. CIT (1995) 211 ITR 511 (Guj.), India Cement Ltd vs. CIT (1966) 60 ITR 52 (SC), CIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by observing as under: 4.4. I have seen carefully the facts and evidence. Identical issue has been decided in the case of the appellant by the Hon ble CIT(A)-III vide ITA No.0081/ACIT 2(2)/CIT(A)-III/2011-12 dated 22nd January, 2013. The operative part of that judgment is quoted below:- 4.13. I have also gone through the case law referred to by the appellant and I find merit in the contention of the appellant that the issue is definitely debatable. This is evident from the decision of the Hon ble Delhi High court in the case of NTPC Sail Power Company 25 Taxmann 401 where it was held that interest on money received as share capital if temporary placed in a fixed deposit does not alter the nature of the amount as this amount is i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... terest income earned by the assessee as taxable under the head income from other source is a debatable issue considering the facts and circumstances of the case of the assessee. The assessee has taken one possible view which was rejected by the Ld. Revenue Authorities. However, the assessee had brought out all the facts before the Revenue along with the return of income. Therefore, at the most it can be only treated as a claim of the assessee which may not be sustainable in law. In these circumstances, we are of the considered view that the ratio laid down by the Hon ble Apex Court in the case of CIT vs. Reliance Petroproduct (P.) Ltd., [2010] 189 Taxman 322 / 322 ITR 158 (SC) will be squarely applicable to the case of the assessee. The g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecause that is the only document, where the assessee can furnish the particulars of his income. When such particulars are found to be inaccurate, the liability would arise. [Para 8] The word 'particulars' must mean the details supplied in the return, which are not accurate, not exact or correct, not according to truth or erroneous. In the instant case, there was no finding that any details supplied by the assessee in its return were found to be incorrect or erroneous or false. Such not being the case, there would be no question of inviting the penalty under section 271(1)(c). A mere making of the claim, which is not sustainable in law by itself will not amount to furnishing of inaccurate particulars regarding the income of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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