Ankeet Cottage Industries , Aurangabad V. Income-tax Officer, Ward - 1 (3), Aurangabad

ITA 575/PUN/2019

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 9603 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 9 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-01-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2012-2013
• Appeal Filed On: 10-04-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 271(1)(c); 274

Judgement Text

आयकर अपीऱीय अधिकरण “ए” न्यायपीठ प ु णे म ें । IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, PUNE (Through Virtual Court) BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपीऱ सं. / ITA No.575/PUN/2019 नििाारण वषा / Assessment Year : 2012-13 Ankeet Cottage Industries, Plot No. B-19, MIDC Area, Paithan, Taluka-Paithan, District-Aurangabad-431107 PAN : AADFA9560C .......अऩीऱाथी / Appellant बिाम / V/s. The Income Tax Officer, Ward – 1(3), Aurangabad ......प्रत्यथी / Respondent Assessee by : Shri S.N. Puranik Revenue by : Shri S.P. Walimbe स ु नवाई की तारीख / Date of Hearing : 27-01-2022 घोषणा की तारीख / Date of Pronouncement : 28-01-2022 आदेश / ORDER PER S.S. VISWANETHRA RAVI, JM : This appeal by the assessee against the order dated 02-02-2019 passed by the Commissioner of Income Tax (Appeals)-2, Aurangabad [„CIT(A)‟] for assessment year 2012-13. 2. The only issue is to be decided is as to whether the CIT(A) is justified in confirming the penalty imposed by the AO u/s. 271(1)(c) of the Act in the facts and circumstances of the case. 2 ITA No. 575/PUN/2019, A.Y. 2012-13 3. Heard both the parties and perused the material available on record. We note that the AO in its order dated 23-03-2016 recorded satisfaction of filing inaccurate particulars of the income. In consequence of which the AO issued notice dated 23-03-2016 u/s. 274 r.w.s. 271(1)(c) of the Act to the assessee on both the charges i.e. concealment of income and furnishing inaccurate particulars of income. The ld. AR submits that the AO initiated penalty proceedings and imposed penalty for concealment of income which is not maintainable. We note that the AO in consequence of notice imposed penalty of Rs.5,83,360/- for concealment of income vide Para No. 5 of the penalty order dated 19-09-2016 which is contrary to the finding recorded in assessment order. As discussed above, the AO recorded its satisfaction for furnishing inaccurate particulars of income and issued notice for both the charges and proceeded to impose penalty for concealment of income. Therefore, the order of AO is not justified under law for the reason that there was no satisfaction to the effect that the assessee concealed income in the assessment order. Thus, we hold that the order of CIT(A) in confirming the penalty imposed by the AO is not justified and it is set aside. Accordingly, the grounds raised by the assessee are allowed. 4. In the result, the appeal of assessee is allowed. Order pronounced in the open court on 28 th January, 2022. Sd/- Sd/- (Inturi Rama Rao) (S.S. Viswanethra Ravi) ACCOUNTANT MEMBER JUDICIAL MEMBER ऩ ु णे / Pune; ददनाांक / Dated : 28 th January, 2022. रवव 3 ITA No. 575/PUN/2019, A.Y. 2012-13 आदेश की प्रनिलऱपप अग्रेपषि / Copy of the Order forwarded to : 1. अऩीऱाथी / The Appellant. 2. प्रत्यथी / The Respondent. 3. The CIT(A)-2, Aurangabad 4. The Pr. CIT-1, Aurangabad 5. ववभागीय प्रतततनधध, आयकर अऩीऱीय अधधकरण, “ए” बेंच, ऩ ु णे / DR, ITAT, “A” Bench, Pune. 6. गार्ड फ़ाइऱ / Guard File. //सत्यावऩत प्रतत// True Copy// आदेशान ु सार / BY ORDER, वररष्ठ तनजी सधचव / Sr. Private Secretary आयकर अऩीऱीय अधधकरण ,ऩ ु णे / ITAT, Pune