TMI Blog2021 (8) TMI 78X X X X Extracts X X X X X X X X Extracts X X X X ..... not amount to furnishing inaccurate particulars regarding the income of the assessee. Such claim made in the return cannot amount to the inaccurate particulars. The assessee had furnished all the details of its expenditure as well as income in its return, which details, in themselves, were not found to be inaccurate nor could be viewed as the concealment of income on its part. It was up to the authorities to accept its claim in the return or not. 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 u/s 271(l)(c). If the contention of the Revenue is accepted then in case of every return where the claim made is not accepted b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... period. Thereafter, Ld. A.O issued a notice u/s. 148 that assessee has sold immovable poroperty on 05.04.2012 for consideration of ₹ 68,16,700/-. In compliance to the notice, assessee filed return of income declaring taxable income at ₹ 25,66,700/- and income of ₹ 1,08,552/- for other sources. 3. Assessee s contention was that his sold land was not a capital asset as the land was situated at the distance on 8 km. from the Vadodara city and Urban Development authority issued a letter on 29.03.2012 and competent authority has said that it is still exist in agriculture zone and air polluted area. However, there is no any TP scheme in this area and as per the last census, the population of village Sherkhi where land is situ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant. 9. The Hon ble Supreme Court in the case of CIT vs. Reliance Petro Products Pvt. Ltd. (2010) 322 ITR 158 holding in para 9, 10 12 from the gist as under: Reading the words inaccurate and particulars in conjunction, they must mean the details supplied in the return, which are not accurate, not exact or correct, not according to truth or erroneous. In this case, there is 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 s. 271(l)(c). A mere making of the claim, which is not sustainable in law, by itself, will not amount to furnishing inaccurate particulars regarding the in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fficer though the appellant was under bona fide belief that Capital Gain earned on sale of agricultural land was not chargeable to tax as it was not Capital Assets as per section 2(14)011) of the Act supported by authentic evidence and case laws produced before the Income Tax Authority. 12. As we held in the connected appeal in ITA No. 166/Ahd/2019 that assessee was in bona fide belief that his sold land was an agricultural land and did not attract any capital gain and same was not within the definition of capital asset. Hence did not attract capital gain. 13. Thus, as we have granted relief to the assessee in the connected appeal in ITA No. 166/Ahd/2019, therefore, this appeal of the Assessee is also allowed. 14. In the result, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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