Shyam Karthik, Coimbatore V. ACIT Central Circle 2, Coimbatore

ITA 2291/CHNY/2018

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 4969 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 6 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-02-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2010-2011
• Appeal Filed On: 02-08-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: PAVITRAN KUMAR
• Assessee Lawyers: B RAMAKRISHNAN
• Keywords: Reasonable cause
• Section: 192

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , D B ENCH, CHENNAI, CAMP AT COIMBATORE ... , ! '#, $ #% BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER ./ I.T.A.NO.2291/CHNY/2018 ( / ASSESSMENT YEARS:2010-2011) SHRI. SHYAM KARTHIK, NO.6-19A. J V AVENUE, THIRUMURUGAN NAGAR, VEERIYAMPALAYAM ROAD, KALAPATTI, COIMBATORE 641 048. VS THE ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE,-2, COIMBATORE PAN: CGEPS 9381J ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : SHRI B. RAMAKRISHNAN, C.A. /RESPONDENT BY : SHRI PAVITRAN KUMAR, JCIT /DATE OF HEARING : 06.02.2020 ! /DATE OF PRONOUNCEMENT : 06.02.2020 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER : THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS)-18, CHENNA I DATED 23.11.2017 2 I.T.A. NO.2291/2018 CONFIRMING PENALTY LEVIED U/S.271 (1) (C) OF THE IN COME TAX ACT, 1961 (IN SHORT THE ACT) AND PERTAINS TO THE ASSESSMENT YEAR 2010-2011. 2. THERE IS A DELAY OF 192 DAYS IN FILING THE APPEA L BEFORE THIS TRIBUNAL. THE ASSESSEE HAS FILED PETITION FOR CONDONATION OF DELAY. HAVING HEARD THE LD. REPRESENTATIVE FOR THE ASSESSEE AND THE LD.DR, THIS TRIBUNAL FINDS THAT THERE WAS REASONABLE CAUSE ON THE PART OF THE ASSES SEE FOR NOT FILING THE APPEAL BEFORE THE STIPULATED TIME. THEREFORE, THE DELAY OF 192 DAYS IS CONDONED AND THE APPEALS IS ADMITTED. 3. SHRI. B. RAMAKRISHNAN, LD. REPRESENTATIVE FOR THE ASSESSEE SUBMITTED THAT DURING THE COURSE OF SEARCH OPERAT ION, THE ASSESSEES FATHER SHRI. P. PADMANABHAN DECLARED AN UNDISCLOSED INCOME IN THE HANDS OF THE ASSESSEE TO THE EXTENT OF RS.6,18,000/-. SINCE ASSESSEES FATHER DECLARED THE INCOME IN THE HANDS OF THE ASSESSEE , THE ASSESSEE ALSO FILED THE RETURN OFFERING THE VERY SAME AMOUNT FOR TAXAT ION. THE ASSESSING OFFICER ACCEPTED THE RETURN FILED BY THE ASSESSEE. ACCORDING TO THE LD. REPRESENTATIVE THERE WAS NO CONCEALMENT OF INCOME OR FURNISHING OF ANY INACCURATE PARTICULARS OF INCOME. SINCE THE FATHER OFFERED FOR TAXATION AND THE ASSESSEE FILED THE RETURN, THEREFORE THERE CANN OT BE ANY PENALTY. 3 I.T.A. NO.2291/2018 4. ON THE CONTRARY, SHRI PAVITRAN KUMAR, THE LD. DEPARTMENTAL REPRESENTATIVE SUBMITTED THAT THE ASSESSEE HAS NOT FILED ANY RETURN OF INCOME VOLUNTARILY BEFORE THE SEARCH. ONLY AFTER T HE SEARCH, THE ASSESSEE FILED RETURN OF INCOME DISCLOSING INCOME OF RS.6,1 8,000/-THE LD. DR SUBMITTED THAT RETURN WAS FILED SUBSEQUENT TO SEAR CH AND IT IS INVALID RETURN. THEREFORE, THE AO HAS RIGHTLY LEVIED PENALT Y. 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS ON EITH ER SIDE AND PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. IT IS NOT KNOWN THE SOURCE OF INCOME OF THE ASSESSEE OTHER THAN THE D ECLARATION GIVEN BY THE ASSESSEES FATHER DURING THE COURSE OF SEARCH OPERA TION. THERE WAS NO OTHER MATERIAL TO SHOW THAT ASSESSEE HAD EARNED TH E INCOME. MERELY BECAUSE THE ASSESSEE FILED RETURN OF INCOME DISCLO SING THE AMOUNT DECLARED BY THE ASSESSEES FATHER, THIS TRIBUNAL IS OF THE CONSIDERED OPINION THAT IT CANNOT BE CONSTRUED AS CONCEALMENT OF INCO ME OR FURNISHING OF ANY INACCURATE PARTICULARS OF SUCH INCOME. THEREFORE, PENALTY LEVIED BY THE AO AS CONFIRMED BY THE CIT(A) IS NOT SUSTAINABLE IN L AW. THEREFORE THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. PENALTY IS DELET ED. 6. IN THE RESULT, THE APPEAL FILED BY TH E ASSESSEE IN ITA NO.2291/ CHNY/2018 FOR ASSESSMENT YEAR 2010-2011 IS ALLOWED. 4 I.T.A. NO.2291/2018 ORDER PRONOUNCED IN THE COURT ON 6TH FEBRUARY, 2020 AT CAMP AT COIMBATORE. SD/- SD/- ( ) (S. JAYARAMAN) /ACCOUNTANT MEMBER (... ) (N.R.S. GANESAN) / JUDICIAL MEMBER COIMBATORE /DATED, THE 6 TH FEBRUARY, 2020. KV #$ %&'& /COPY TO: 1. /APPELLANT 2. /RESPONDENT 3. * ( )/CIT(A) 4. * /CIT 5. &+, - /DR 6. ,./ /GF