Case Law Details
Vijay D. Patel Vs CIT (ITAT Ahmedabad)
It is clear that post amendment to section 271(1)(c) w.e.f. 1-4-2002 authorizing the commissioner also initiate penalty u/s 271(1)(c), the CIT still cannot direct the Assessing Officer to initiate penalty proceedings while exercising his revisionary power u/s. 263 of the act. The decision of the Jurisdictional High Court in the case of CIT vs. Parmanand M. Patel( supra) still holds fort. The order of the PCIT exercising revisionary powers for directing initiation of penalty proceedings is therefore held to be not in accordance with law and is accordingly set aside.
FULL TEXT OF THE ORDER OF ITAT AHMEDABAD
The present appeal has been filed by the assessee against the order passed by the Ld. Principal Commissioner of Income Tax-7, Ahmedabad, (in short referred to as PCIT), dated 10-03-2015, in exercise of his revisionary jurisdiction u/s. 263 of the Income Tax Act, 1961(hereinafter referred to as the “Act”) and relates to assessment year 2008-09.
2. The appeal was earlier dismissed for non-prosecution vide order dated 01-03-2018 and subsequently recalled on a Miscellaneous Application filed by the assessee in MA No. 359/Ahd/2019 dated 21st Feb, 2020. In consequence thereof, the appeal was fixed for hearing afresh.
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