TMI Blog2018 (6) TMI 1792X X X X Extracts X X X X X X X X Extracts X X X X ..... which Bombay High Court in case of CIT v. Trumph International Finance (I) Ltd. was pronounced. Therefore, prior to 12.06.2012 it can be safely concluded, wherein the assessee under the bonafide belief, passed journal entry, could not be subject to penalties under section 271D 271E. Considering the decision in case of CIT v Ajitnath Hi-Tech Builders Pvt. Ltd.(supra) and Tribunal s orders in assessee s group case in National Standard India [ 2018 (7) TMI 1828 - ITAT MUMBAI] and M/s Aashthavinayak Estate Company Ltd. [ 2018 (5) TMI 1745 - ITAT MUMBAI] we do not find any reason to interfere with the finding of ld. Commissioner (Appeals). Appeal filed by Revenue is dismissed. - ITA No.598/Mum/2017 - - - Dated:- 26-6-2018 - SH. RAJEND ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 12 declaring loss of ₹ 6428/-. The assessment was completed under section 143 (3) on 31 March 2015 determining the same loss as declared in the return of income. The assessing officer during the assessment proceeding noted that assessee has received loan from sister concern through journal entries. The assessee explained its business expediency as reasonable cause for passing the journal entries and also filed copy of Ledger Account of sister concern with whom the journal entries were made. The contention of assessee was not accepted as reasonable one by assessing officer; therefore, the assessing officer referred the matter to the Additional Commissioner of Income tax. On receipt of reference the ACIT issued notice for initiation of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 12-13. Therefore, the ratio of decision in CIT Vs Trump International (I) Ltd dated 12 June 2012 (345 ITR 270)/ [22 Taxmann.com 138(Bom)] is not applicable. 4. On going through the various decision of Tribunal and the decision of Hon ble jurisdictional High Court in case of assessee s group case in CIT Vs Ajinath Hitech builders Private Limited (supra) the learned DR conceded that the ground of appeal raised by the revenue are covered in favour of assessee by various decision of Tribunal as refereed by ld AR for the assessee. 5. We have considered the rival submission of the parties and have gone through the orders of authorities below. The ACIT levied the penalty under section 271D on his observation that the assessee accepted loan/ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that reasons disclosed by assessee constitute reasonable cause within the meaning of section 273B of the Act; particularly in light of the fact that there is no finding that such transaction was undertaken to evade the tax. The learned Commissioner (Appeals) while considering the contention of assessee also observed that there is no finding that transaction by way of journal entries were undertaken to evade tax and deleted the penalty. 7. The Co-ordinate bench of Tribunal in assessee s own case in DCIT v. M/s Aashthavinayak Estate Company Ltd. (supra) while following the similar ground of appeal, the assessee s group cases passed the following order: 5. We have considered rival contentions and carefully gone through the orders of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o-ordinate Bench in which levy of similar penalties was held to be not sustainable as there was a reasonable cause, copies of which have been placed on record. In deciding the dispute in favour of the assessee, the Hon'ble Tribunal had considered and applied the ratio laid down by the Hon'ble jurisdictional High Court in the case of CIT v. Triumph International Finance (I) Ltd. (345 ITR 270). 8. The aforesaid order of the Hon'ble Tribunal was approved by the Hon ble jurisdictions! High Court in their judgment and order dated 06.02.2018 in the case of CIT v. Ajinath Hi-Tech Builders Pvt Ltd. and others, copies of which have also been placed on record. In this case, it was also held that prior to the judgment in CIT v. Triumph ..... X X X X Extracts X X X X X X X X Extracts X X X X
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