TMI Blog2017 (8) TMI 1685X X X X Extracts X X X X X X X X Extracts X X X X ..... vary if a reference to the DVO is being sent under sub-section(2) of section 50C. It would indicate that it is quite difficult to conclusively hold an assessee liable for concealment of facts or furnishing of particulars of income. An assessee may stick to his stand that whatever he has shown as actual consideration and it can be tested by making a reference to the DVO under sub-section (2) of section 50C. Thus an assessee could not be visited with penalty under section 271(1)(c) when an addition is being made with the help of deeming fiction provided in section 50C. Receipt from Astha Buildcon - For other addition no elaborate discussion has been made independently in the penalty order. AO has treated both these amounts at par and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2.2 That in the facts and circumstances of the case as well as in law, the ld. CIT(A) ought not to have upheld the penalty of Rs.4,50,383/- levied u/s 271(1)(c). 3. To adjudicate on this appeal only a few material facts need to be taken note of. The assessee has filed his return of income on 13th October 2010 declaring total income at Rs.15,86,662/- and agricultural income at Rs.35,500/-. On scrutiny of the accounts it was revealed to the Assessing Officer that assessee has sold two immoveable property for Rs.2,00,72,400/- with three other co-owners. He found that stamp duty valuation authorities have valued the property for the purpose of stamp duty at Rs.2,67,04,000/-. With the help of section 50C, the Assessing Officer has adopted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er the head capital gain shall be computed by deducting from the full value of the consideration received or accruing as a result of the transfer of the capital asset the following amounts, namely :- (a) expenditure incurred wholly and exclusively in connection with such transfer, (b) the cost of acquisition of the asset and the cost of any improvement thereafter. Section 50C further provides that where the consideration received or accruing as a result of the transfer by an assessee of a capital asset, being land or building or both, is less than the value adopted or assessed by any authority for the purpose of payment of stamp duty in respect of such transaction, the value so adopted or assessed shall, for the purposes of section 48, be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (1)(c) when an addition is being made with the help of deeming fiction provided in section 50C. 7. As far as other addition of Rs.15,750/- is concerned no elaborate discussion has been made independently in the penalty order. The Assessing Officer has treated both these amounts at par and took a consolidated figure. He has nowhere made out that the assessee has furnished inaccurate particulars of income. Even in the assessment order much discussion is not available on this issue. Considering overall facts and circumstances, I find force in the contentions of the assessee and delete the penalty. 8. In the result, appeal is allowed. Pronounced in the open court today on the 29th day of August, 2017. - - TaxTMI - TMITax - Incom ..... X X X X Extracts X X X X X X X X Extracts X X X X
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