ITAT DELHI BENCH ‘A’
Ajay Jain
versus
Assistant Commissioner of Income-tax
IT APPEAL NO. 918 (DELHI) OF 2012
[ASSESSMENT YEAR 2007-08]
OCTOBER 1, 2012
ORDER
A. N. Pahuja, Accountant Member
This appeal filed on February 24, 2012, by the assessee against an order, dated February 13, 2012, of the learned Commissioner of Income-tax (Appeals)-XXIV, New Delhi, raises the following grounds :
“1. That under the facts and circumstances, the lower authorities erred in law and on merits in levying and sustaining penalty of Rs. 48,413, Rs. 45,073 under section 271(1)(c) of the Income-tax Act.”
2. The facts, in brief, as per relevant orders are that return declaring income of Rs. 7,22,300 for the assessment year 2007-08 filed on October 22, 2007 by the assessee, engaged in the business of manufacturing and wholesale trading of hydraulic, mechanical presses, machines and hydroclave machines besides trading in iron and steel in the name of Hi-tech Industries, was selected for scrutiny with the service of a notice under section 143(2) of the Income-tax Act, 1961 (hereinafter referred to as the Act). During the course of assessment proceedings, the Assessing Officer (AO in short) after obtaining details of creditors, issued notice under section 133(6) of the Act to M/s. N. K. Jain and Co. and M/s. GTM Sales Corporation. In the light of the details reflected in the copy of account of the assessee received from the said parties vis-a-vis the books of account of the assessee, the Assessing Officer noticed the following differences :
