2024 (1) TMI 209

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..... limb penalty is to be levied in the notice u/s. 274 r.w.s. 271(1)(c) - HELD THAT:- We find that before the ld. AO not only during the course of assessment proceedings but also during the penalty proceedings assessee had submitted the explanation that all the purchases were from the books and payments have been made through account payee cheques and ultimately addition has been sustained on purely .....

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..... action is vague. Accordingly, penalty levied on such adhoc estimate cannot be sustained in the present case and hence same is deleted. Appeal of the assessee is allowed. - Shri Amit Shukla, Judicial Member And Shri Amarjit Singh, Accountant Member For the Assessee : Shri Rahul Sarda For the Revenue : Smt. Mahita Nair ORDER PER AMIT SHUKLA (J.M): The aforesaid appeal h .....

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..... Bill Amount 1 Avi Export 6162619 2 Moulimani 40732488 3 Sun 5070510 4 Vitrag 3795507 Total 55761124 Based .....

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..... ion to Section 271(1)(c) will be attracted once there is difference between the assessed income and returned income is excess of 20%. 4. After hearing both the parties and perused the material on record, we find that before the ld. AO not only during the course of assessment proceedings but also during the penalty proceedings assessee had submitted the explanation that all the purchases were fr .....

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..... ich ld. AO has held in his penalty order that penalty is being levied under both the limbs, which itself shows his satisfaction is vague. Accordingly, penalty levied on such adhoc estimate cannot be sustained in the present case and hence same is deleted. Since, we have already deleted the penalty, the legal issue raised in the additional ground become purely academic. 5. In the result, appeal .....

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