9911796707
TMI Blog2021 (9) TMI 234X X X X Extracts X X X X X X X X Extracts X X X X ..... hence, it should be deleted. 2. On the facts and in the circumstances of the case, the learned CIT(Appeals) failed to appreciate that, there is no concealment of any income and hence the penalty levied be cancelled. 3. The learned CIT(Appeals) failed to appreciate that, the appellant had disclose true and correct details of its claim and there is no concealment of the same. 4. The appellant prays that, the claim of deduction made u/s.80 IB (10) was on technical ground rejected and hence, the penalty levied be cancelled. 3. Brief facts leading to the levy of penalty are as under:- 2. The assessee is an individual engaged in the business of redevelopment of residential building under the name & style of Raj Constructions. The ret ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lation of proviso to Section 80IB(10)(b). The deduction claimed was only under professional guidance of the auditor who are specialized in the taxation laws. He relied on the decision of the Supreme Court in case of CIT vs. Reliance Petroproducts P. Ltd. in support of his view that a mere claim of deduction does not tantamount to concealment of income or furnishing of inaccurate particulars of income. The appellant has also filed a copy of the aforesaid judgement along with written opinion, tax audit report and order of CIT(A). 5. Ld.CIT(A) proceeded to confirm the penalty by elaborately dealing with the merit of the addition. He has held as under:- 5. I have carefully gone through the penalty order of the AO as well as the written subm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is applicable in general cases. As the language of section 80IB are clear and unambiguous, there is no doubt that the claim of the appellant made u/s 8016(10) were without any justification whatsoever and without any bona fide reasons. The claim of the appellant was patently wrong and inadmissible. This is not a case where conflicting decisions of various High Courts were available on the date of filing of return. In fact, the decision of Vandana Properties is also subsequent to filing return on 14.10.2010. 5.3. Apart from that I find that the reliance of the appellant in the case of Reliance Petro Products Pvt. Ltd. in 322 ITR 128 is misplaced. Hon'ble Supreme Court in this case has held in para 9 that "9. We are not concerned in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of income was incorrect or false. The focus of the AR of the appellant on the phrase used by the Hon'ble Supreme Court - "A mere making of the claim, which is not sustainable in law, by itself, will not amount to furnishing inaccurate particulars regarding the income of the assesses".- cannot be read in isolation. In the instant case, during the assessment as well as the penalty proceedings, it was brought on record that the appellant had made the false claim which was not admissible in law. Hence, it will tantamount to furnishing of inaccurate particulars of income in the return of income filed by the appellant during A.Y. 2010-11. 5.5 In the light of discussion made in the preceding paragraphs, in my considered opinion, the penalty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... distinguished the assessee's reliance upon Hon'ble Bombay High Court decision in the case of Vandana Property(supra) by holding that assessee is picking lines from the above Hon'ble jurisdictional High Court decision. After having held so Ld.CIT(A) has misled himself in distinguishing the assessee's reliance upon the decision of Hon'ble Supreme Court in the case of Reliance Petroproducts. In the said case Hon'ble Supreme Court has expounded that mere denial of an assessee's claim cannot fasten upon the assessee liability of penalty u.s 271(1)(c), unless the assessee's claim is found to be ex-facie bogus. In our considered opinion, the assessee's claim by no stretch of imagination can be said to be apparently bogus claim. Hence, in our cons ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
