UGS Finance Pvt. Ltd. Vs DCIT (ITAT Delhi)
ITAT Delhi held that concealment of income via bogus share capital transaction duly attracts levy of penalty under section 271(1)(c) of the Income Tax Act. Accordingly, appeal of assessee dismissed and penalty upheld.
Facts- The solitary issue involved in the present appeal is levy of penalty u/s 271(1)(c) of the Act for concealment of income/ furnishing of inaccurate particulars of such income. The orders of the authorities below reveal that the penalty was levied on account of addition made to the income of the assessee in quantum proceedings of share capital and premium received by the assessee during the year amounting in all to Rs.2,65,10,000/-. The quantum of penalty levied on the same amounts to Rs.95,10,463/-.
Conclusion- Held that the ld.CIT(A) has rightly appreciated that the addition made of share capital of Rs.2.65 crores in the hands of the assessee as bogus was the culmination of the detailed inquiry conducted revealing the said fact, we are in complete agreement with the ld.CIT(A) that this is a clear-cut case of concealment of income attracting levy of penalty u/s 271(1)(c) of the Act. The order of the ld.CIT(A) confirming the levy of penalty is, therefore, upheld. The appeal of the assessee is dismissed.
