Case Law Details
Krishan Kumar Goel Vs DCIT (ITAT Delhi)
AO has made additions and computed the income at Rs.1,88,85,961/-. Nowhere in the order of the AO there is any whisper that AO is not satisfied by the compliance by the assessee to his notices or queries. Now, the same AO has passed the above said penalty order.
The above amply shows that there is lack of proper application of mind by the AO levying the penalty as well as the ld. CIT (A) upholding the same. The penalty order by the same AO is quite in contradiction to the assessment order passed by the same AO in which there is no whisper about lack of compliance by the assessee. The penalty has been levied and upheld de hors any consideration of the facts actually operating. In this view of the matter, in our considered opinion, assessee is not leviable with penalty u/s 271(1)(b).
Moreover, Hon’ble Court in the case of Commissioner of Sales-tax vs. State of Orissa 82 ITR 126 has held that the authority may not levy penalty if the conduct of the assessee is not found to be contumacious. In our considered opinion, the conduct of the assessee is not at all contumacious. In view of the matter, we set aside the order of Revenue authorities and decide the issue in favour of the assessee.
FULL TEXT OF THE ORDER OF ITAT DELHI
Please become a Premium member. If you are already a Premium member, login here to access the full content.
