Penalty u/s 271(1)(c) cannot be levied for mere surrender of outstanding balance of creditors in revised return

There cannot be any dispute to the preposition that the penalty is leviable under Section 271(1) (c) when any person has concealed the particulars of his income or furnished inaccurate particulars of such income. The present is not a case of concealment of particulars of any income of the assessee. At best, the case could have proceeded on the ground that assessee “furnished inaccurate particulars of such income”. From the order passed by the Commissioner of Income Tax (Appeals)-II as well as the Tribunal, it is clear that the assessee has shown in his initial return filed on 31.10...