SHRI PANDHARINATH BALKRISHNA GHARAT, RAIGAD V. ITO,WAED-2, PANVEL, PANVEL

ITA 2116/PUN/2019

AI Insights

Shri Pandharinath Balkrishna Gharat appealed against the penalty imposed by the Income Tax Officer, Ward-2, Panvel, which was sustained by the CIT(A), Pune-5. The penalty was levied for non-disclosure of a bank account and the income therein during the assessment year 2011-12. The Tribunal noted that the assessee failed to provide any explanation for the undisclosed amounts and interest income from the bank account during the proceedings. Consequently, the Tribunal dismissed the appeal, upholding the penalty on grounds of concealment of income and filing inaccurate particulars.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134307 (ITAT-PUNE)
• Duration Of Justice: 3 year(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-01-2023
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 19-12-2022
• Assessment Year: 2011-2012
• Appeal Filed On: 29-12-2019
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 131; 271(1)(c)

Judgement Text

आयकर अपीलीय अिधकरण “बी” Ɋायपीठ पुणेमŐ। IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCHES “B” :: PUNE BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.2116/PUN/2019 िनधाᭅरण वषᭅ / Assessment Year : 2011-12 Shri Pandarinath Balkrishna Gharat, B-202, Shri Raj Nagar, Mamtha Road, Uran District, Raigad – 400702. PAN: ABBPG 3269 K V s The Income Tax Officer, Ward-2, Panvel, Raigad. Appellant/ Assessee Respondent /Revenue Assessee by None. Revenue by Shri M.G.Jasnani – DR Date of hearing 20/12/2022 Date of pronouncement 23/01/2023 आदेश/ ORDER PER DR. DIPAK P. RIPOTE, AM: This appeal filed by Shri Pandharinath Balkrishna Gharat against the order of ld.CIT(A), Pune-5 dated 24.09.2019 emanating from the order of ITO, Ward-2, Panvel passed under section 271(1)(c) of the Income Tax Act, 1961 dated 27.03.2017. The Assessee has raised the following grounds of appeal: “1. In the facts and circumstances of the case and in law, the Ld. CIT(A) has erred in sustaining the penalty levied by Ld. Assessing Officer u/s.271(1)(c) of Rs.3,30,780/- on jurisdictional grounds as well as on merits of the case. The appellant craves leave to add, amend, supplement, alter and/or delete any of the above grounds of appeal.” ITA No.2116/PUN/2019 Shri Pandharinath Balkrishna Gharat [A] 2 2. None appeared for the assessee. The case was adjourned as none had appeared for the assessee on 01.06.2022, 25.07.2022, 22.08.2022, 22.09.2022, 17.10.2022, 27.10.2022, 17.11.2022, 06.12.2022 and 20.12.2022. 3. Thus, sufficient opportunity has already been given to the assessee. However, assessee chose not to appear for hearing, therefore, the case is decided ex-parte. 4. The ld.Departmental Representative(ld.DR) for the Revenue relied on the orders of the Lower Authorities. 5. Findings and Decision: In this case, the assessee filed return of income declaring total income of Rs.10,86,163/- on 29.07.2011 for A.Y. 2011-12. During the assessment proceedings, the Assessing Officer(AO) observed that assessee had not disclosed his bank account maintained with Bank of Maharashtra. The AO called information from Bank of Maharashtra. The relevant part of the assessment order is reproduced here as under : “9. On verification of the bank account called for u/s. 131 of the Act from Bankof Maharashtra, it is seen that there are amount credited in the account other than the amount received from Shraddha Enterprises as follows: 28-07-2010 Cheque 3,00,000/- 31-7-2010 Cash 4,00,000/- 02-08-2010 Cheque 1,06,398/- 18-08-2010 Cheque 5,00,000/- 01-10-2010 Cheque 6,825/- ITA No.2116/PUN/2019 Shri Pandharinath Balkrishna Gharat [A] 3 30-10-2010 Cheque 2,346/- 03-01-2011 Cheque 14,560/- 10-01-2011 Cheque 14,536/- 17-01-2011 Cheque 20,000/- 25-01-2011 Cheque 60,000/- Total 14,24,689/- Out of the above Rs.4,00,000/- cash deposited was considered to be out of cash received on 24 th June 2010 on account of sale of property. Since the assessee had not submitted any details of the balance cheques deposited amounting to Rs.10,24,689/-, the same is added to the income of the assessee as income from undisclosed sources. Since the assessee has concealed his income from undisclosed sources. Since the assessee has concealed his income and filed inaccurate particulars, penalty proceedings u/s. 271(1)(c) is initiated separately.” 6. Similarly, assessee had not disclosed interest amount of Rs.45,829/- earned from the bank accounts. The AO added the said interest amount. The AO initiated penalty proceedings and levied penalty under section 271(1)(c) of the Act. Aggrieved by the same, the assessee filed appeal before the ld.CIT(A). The ld.CIT(A) upheld the penalty order. 7. Aggrieved by the same, the assessee filed appeal before this Tribunal. 8. We have heard the ld.DR for the Revenue and perused the records. It is observed from the assessment order that assessee had not disclosed the bank account maintained with Bank of Maharashtra. The assessee had not filed reasons before the AO for the same. The AO added the undisclosed amount of Rs.10,24,689/- appearing in the said bank account. The AO also added Rs.45,829/- undisclosed interest. The assessee has not ITA No.2116/PUN/2019 Shri Pandharinath Balkrishna Gharat [A] 4 offered any explanation on these issues before the ld.CIT(A) also. It is a fact that assessee has concealed his bank account and the amount deposited in it. Similarly, assessee has concealed the interest earned from the bank accounts, therefore, assessee filed inaccurate particulars, therefore, the AO was right in levying penalty under section 271(1)(c) for concealment of income and for filing inaccurate particulars of income. Accordingly, the penalty order is upheld. The grounds of appeal of the assessee are dismissed. 9. In the result, appeal of the assessee is dismissed. Order pronounced in the open Court on 23 rd January, 2023. Sd/- Sd/- (S.S.GODARA) (DR. DIPAK P. RIPOTE) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 23 rd Jan, 2023/ SGR* आदेशकᳱᮧितिलिपअᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A), concerned. 4. The Pr. CIT, concerned. 5. िवभागीयᮧितिनिध, आयकर अपीलीय अिधकरण, “बी” बᱶच, पुणे / DR, ITAT, “B” Bench, Pune. 6. गाडᭅफ़ाइल / Guard File. आदेशानुसार / BY ORDER, // TRUE COPY // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे/ITAT, Pune.