Sh. Krishan Kumar Sharma, Amritsar. V. The Assistant Commissioner of Income Tax, Amritsar.

ITA 677/ASR/2013

• Counselvise Citation: 67720914 RSA 2013
• Duration Of Justice: 4 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 19-03-2014
• Assessment Year: 2009-2010
• Appeal Filed On: 20-11-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMRIK CHAND
• Keywords: Salary income; Reasonable cause; Wrong claim

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH; AMRITSAR. BEFORE SH. H.S. SIDHU, JUDICIAL MEMBER AND SH. B.P.JAIN, ACCOUNTANT MEMBER I.T.A. NO.676(ASR)/2013 ASSESSMENT YEAR:2009-10 PAN :ABNPS5349D SH. NARINDER KUMAR SHARMA, VS. ASSTT. COMMR. OF IN COME TAX, VILL. GANDA SINGH WALA, CIRCLE-IV, AMRITSAR. MAJITHA ROAD, AMRITSAR. (APPELLANT) (RESPONDENT) I.T.A. NO.677(ASR)/2013 ASSESSMENT YEAR:2009-10 PAN :ABNPS5350D SH. KRISHAN KUMAR SHARMA, VS. ASSTT. COMMR. OF IN COME TAX, VILL. GANDA SINGH WALA, CIRCLE-V, AMRITSAR. MAJITHA ROAD, AMRITSAR. (APPELLANT) (RESPONDENT) APPELLANTS BY:SH.ASHWANI KALIA, CA RESPONDENT BY:SH.AMRIK CHAND, DR DATE OF HEARING: 19/03/2014 DATE OF PRONOUNCEMENT:20/03/2014 ORDER PER BENCH ; THESE TWO APPEALS OF TWO DIFFERENT ASSESSEES ARISE FROM THE DIFFERENT ORDERS OF THE CIT(A), AMRITSAR EACH DATED 11.10.20 13 FOR THE ASSESSMENT ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 2 YEAR 2009-10. THE GROUNDS OF APPEAL RAISED IN ITA NO.676(ASR)/2013 IN THE CASE OF NARINDER KUMAR ARE REPRODUCED AS UNDER: 1. THE LD. CIT(A), AMRITSAR HAS GROSSLY ERRED IN C ONFIRMING THE PENALTY U/S 271(1)(C) LEVIED BY THE ACIT, CIRCLE V, AMRITSAR AT RS.17,98,761/- @ 150% OF TAX SOUGHT TO BE EVADED. 2. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE GROSSLY ERRED IN REJECTING THE AFFIDA VIT OF THE PREVIOUS COUNSEL OF THE ASSESSEE AND THE BONAFIDE M ISTAKE COMMITTED AT THE PREVIOUS COUNSEL OF THE ASSESSEE. 3. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE FAILED TO APPRECIATE THAT THE ASSESSE E WAS PREVENTED BY A REASONABLE CAUSE FROM FILING THE COR RECT PARTICULARS OF INCOME DUE TO MISTAKE OF THE COUNSEL . 4. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE FAILED TO APPRECIATE THAT THE ASSESSE E CORRECTED HIS MISTAKE & INFORMED THE DEPARTMENT SUO MOTTO & PAID THE FULL TAX. 5. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE GROSSLY ERRED IN NOT FOLLOWING THE JU RISDICTIONAL HIGH COURT & JURISDICTIONAL ITAT, AMRITSAR BENCH. 2. IN ITA NO.677(ASR)/2013, THE ASSESSEE, SH. KRIS HAN KUMAR SHARMA HAS RAISED FOLLOWING GROUNDS OF APPEAL:: 1. THE LD. CIT(A), AMRITSAR HAS GROSSLY ERRED IN C ONFIRMING THE PENALTY U/S 271(1)(C) LEVIED BY THE ACIT, CIRCLE V, AMRITSAR AT RS.17,94,290/- @ 150% OF TAX SOUGHT TO BE EVADED. 2. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE GROSSLY ERRED IN REJECTING THE AFFIDA VIT OF THE PREVIOUS COUNSEL OF THE ASSESSEE AND THE BONAFIDE M ISTAKE COMMITTED AT THE PREVIOUS COUNSEL OF THE ASSESSEE. ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 3 3. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE FAILED TO APPRECIATE THAT THE ASSESSE E WAS PREVENTED BY A REASONABLE CAUSE FROM FILING THE COR RECT PARTICULARS OF INCOME DUE TO MISTAKE OF THE COUNSEL . 4. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE FAILED TO APPRECIATE THAT THE ASSESSE E CORRECTED HIS MISTAKE & INFORMED THE DEPARTMENT SUO MOTTO & PAID THE FULL TAX. 5. THAT BOTH LD. CIT(A), AMRITSAR & THE ACIT, CIRCL E V, AMRITSAR HAVE GROSSLY ERRED IN NOT FOLLOWING THE JU RISDICTIONAL HIGH COURT & JURISDICTIONAL ITAT, AMRITSAR BENCH. 3. 3. FIRST OF ALL, WE TAKE UP APPEAL IN THE CASE O F SH. NARINDER KUMAR SHARMA, IN ITA NO.676(ASR)/2013. SINCE THE FA CTS IN THE CASE OF SH. KRISHAN KUMAR SHARMA, IN ITA NO.677(ASR)/2013 ARE I DENTICAL TO THE FACTS IN THE CASE OF SH. NARINDER KUMAR SHARMA AND THE DE CISION IN THE CASE OF SH. NARINDER KUMAR SHARMA, HEREINBELOW SHALL BE IDENTIC ALLY APPLICABLE IN THE CASE OF SH. KRISHAN KUMAR SHARMA. 4. THE BRIEF FACTS IN THE CASE OF SH. NARINDER KUMA R IN ITA NO.676(ASR)/2013 ARE THAT THE RETURN DECLARING REGU LAR INCOME OF RS.1,09,48,660/- AND AGRICULTURAL INCOME OF RS.3,50 ,000/- WAS E-FILED ON 30.03.2010. FURTHER, THE ASSESSEE HAD SHOWN INCOME FROM SALARY OF RS.6,00,000/-, INCOME FROM HOUSE PROPERTY OF RS.2,2 7,345/-, INCOME FROM SHORT TERM CAPITAL GAIN OF RS.9,28,035/- ON SALE OF PROPERTIES, LONG TERMS CAPITAL GAIN OF RS.99,85,865/- ON SALE OF LAND INCO ME, FROM OTHER SOURCES OF ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 4 RS.2,35,454/- ON ACCOUNT OF INTEREST INCOME IN RESP ECT OF SAVING BANK ACCOUNT, FDRS AND RBI RELIEF BONDS. UNDER THE HEAD INCOME FROM LONG TERM CAPITAL GAIN ON SALE OF LAND THE ASSESSEE HAS SHOWN DATE OF ACQUISITION OF LAND AS ON 10.01.2003 AND DATE OF TRANSFER OF LA ND 30.03.2009. THE LAND WAS SHOWN TO HAVE BEEN ACQUIRED AT THE COST OF RS.3 0,01,697/- FOR WHICH INDEXED COST @ 582/447 WAS ADOPTED AT RS.39,08,249/ -. THE SALE OF LAND WAS SHOWN AT RS.1,30,37,501/- AND THE LONG TERM CAPITAL GAIN WAS COMPUTED AT RS.90,72,332/- ON WHICH THE ASSESSEE HAD CALCULATED TAX @ 20%. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, IT WAS STATED BY THE ASSESSEE THAT LONG TERM CAPITAL GAIN HAS BEEN SHOWN IN RESPECT OF SALE OF LAND TO M/S. EDUCOMP INFRASTRUCTURE PVT. LTD. AS PER SALE DEED EXECUTED ON 04.06.2008. THE ASSESSEE WAS CALLED UPON TO FURNISH DOCUMENTS RELAT ING TO PURPOSE OF LAND ON WHICH THE ASSESSEE HAS SHOWN LONG TERM CAPITAL GAIN . THE ASSESSEE VIDE REPLY DATED 28.11.2011 SUBMITTED THAT THE LAND WHIC H WAS SOLD TO EDUCOMP INFRASTRUCTURE PVT. LTD. WAS IN FACT PURCHASED IN F EBRUARY, 2008 FROM M/S. DHILLON & RANDHAWA BUILDER & COLONIZERS PVT. LTD. A ND THIS LAND WAS SUBSEQUENTLY SOLD TO M/S. EDUCOMP INFRASTRUCTURE PVT. LTD. VIDE SALE DEED EXECUTED ON 04.06.2008. THE ASSESSEE ALSO ADMITTED THAT GAIN ON SALE OF LAND WAS, THEREFORE, LIABLE TO BE ASSESSED AS SHORT TERM CAPITAL GAIN WHEREAS IN THE RETURN OF INCOME FILED HE HAD CLAIMED IT AS LONG TE RM CAPITAL GAIN. IN THE ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 5 RETURN OF INCOME, THE ASSESSEE HAS COMPUTED THE LON G TERM CAPITAL GAIN ON SALE OF LAND TO M/S. EDUCOMP INFRASTRUCTURE PVT. LT D. AT RS.90,57,830/- AND HAS PAID CAPITAL GAIN TAX @ 20%. WHEREAS ON THE FA CTS AND IN THE CIRCUMSTANCES OF THE CASE, THE ASSESSEE WAS SUPPOSE D TO COMPUTE SHORT TERM CAPITAL GAIN ON THIS SALE, AS UNDER: DATE OF ACQUISITION OF LAND 27.02.008 DATE OF SALE OF LAND JUNE, 2008 SALE PRICE OF THE LAND 1,30,37,500/- LESS: COST OF LAND 30,01,697/- SHORT TERM CAPITAL GAIN 1,00,35,803/- ON SHORT TERM CAPITAL GAIN OF RS.1,00,35,803/- THE ASSESSEE IS REQUIRED TO PAY TAX @ 30% WHEREAS BY SHOWING LONG TERM CAPITAL GAIN OF RS.90,57,830/- ON SALE OF LAND TO M/S. EDUCOMP INFRASTRUCTURE PVT. LT D. THE ASSESSEE HAD PAID TAX @ 20%. 4. THE LD. CIT(A) CONFIRMED THE ACTION OF THE A.O. IN LEVYING PENALTY U/S 271(1)(C) OF THE INCOME TAX ACT, 1961. 5. THE LD. COUNSEL FOR THE ASSESSEE, MR. ASHWANI KA LIA, CA SUBMITTED AND ARGUED THAT THE ASSESSEE HAD FILED HIS RETURN O F INCOME FOR THE A.Y. 2009-10 DECLARING AN INCOME OF RS.1,09,48,660/-. TH IS INCLUDED LONG TERM CAPITAL GAIN OF RS.90,57,830/- ON SALE OF LAND. HE FURTHER SUBMITTED THAT THE ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 6 ASSESSEE ALONGWITH HIS COUSIN SH. KRISHAN KUMAR SHA RMA AND THEIR COMPANY M/S. SHARMA & GANGAHAR BUILDERS & COLONIZERS PVT. L TD. HAD TOGETHER SOLD THE LAND TO M/S. EDUCOMP INFRASTRUCTURE PVT. LTD. T HE SHARE OF THE ASSESSEE AND HIS BROTHER WAS 50% AND BALANCE 50% WAS OF THE ABOVE NAMED COMPANY. THE COMPANY M/S. SHARMA & GANGAHAR BUILDE RS & COLONIZERS PVT. LTD. HAD PURCHASED ITS SHARE OF LAND ON 10.01. 2003. THE REMAINING 50% WAS PURCHASED BY ANOTHER COMPANY DHILLON & RANDHAWA BUILDERS & COLONIZERS PVT. LTD. AT THAT TIME. THE ASSESSEE HAD HIS COUSIN PURCHASED THIS 50% SHARE OF LAND FROM DHILLON & RANDHAWA BUILDERS & COLONIZERS PVT. LTD IN FEBRUARY, 2008 IN EQUAL SHARE. THE ENTIRE LA ND WAS THEN SOLD TO M/S. EDUCOMP INFRASTRUCTURE PVT. LTD. IN JUNE, 2008 BY T HE ASSESSEE, HIS COUSIN AND THE COMPANY M/S. SHARMA & GANGAHAR BUILDERS & C OLONIZERS PVT. LTD. IT WAS FURTHER SUBMITTED THAT SINCE THE LAND WHICH WAS SOLD BY THE ASSESSEE AND HIS COUNSIN WAS PURCHASED BY THEM IN FEB., 2008 THE CAPITAL GAIN IN THE HANDS OF ASSESSEE AND HIS BROTHER WAS ACTUALLY SHO RT TERM CAPITAL GAIN. HOWEVER, IN THE RETURN OF INCOME, THE CAPITAL GAIN WAS INADVERTENTLY COMPUTED THE LONG TERM CAPITAL GAIN BY TAKING THE P URCHASE DATE OF LAND SOLD AS 10.01.2003. THE MISTAKE OCCURRED AT THE TIM E OF PREPARATION OF THE RETURN IN THE OFFICE OF ASSESSEES COUNSEL. THE COU NSEL OF THE ASSESSEE INADVERTENTLY TOOK THE DATE OF PURCHASE OF LAND AS 10.1.2003, THE SAME AS IN ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 7 THE CASE OF M/S. SHARMA & GANGAHAR BUILDERS & COLON IZERS PVT. LTD. WHOSE RETURN OF INCOME WAS ALSO PREPARED AND FILED BY HIM . THE ASSESSEE HAD GIVEN ALL THE DOCUMENTS AND DETAILS OF HIS COUNSEL. THE C OUNSEL WORKED OUT THE SALE PRICE AND THE COST PRICE OF LAND CORRECTLY. HOWEVER , DUE TO AN OVER SIGHT DATE OF PURCHASE OF LAND WAS INADVERTENTLY TAKEN AS 10.0 1.2003 INSTEAD OF FEBRUARY, 2008. THIS MISTAKE RESULTED IN SHORT TER M CAPITAL GAIN BEING DECLARED AS LONG TERM CAPITAL GAIN AND COMPUTING TH E TAX LIABILITY ON THAT BASIS. AS SOON AS THE ABOVE INADVERTENT MISTAKE CAM E TO THE NOTICE OF THE ASSESSEE DURING THE ASSESSMENT PROCEEDINGS THE SAME WAS ADMITTED AND IT WAS REQUESTED THAT THE CAPITAL GAIN ON SALE OF LAND BE TREATED AS SHORT TERM CAPITAL GAIN. THE AO TAXED THE SAME ACCORDINGLY BUT INITIATED PENALTY PROCEEDINGS U/S 271(1)(C) FOR ASSESSEE HAVING CONSC IOUSLY MADE WRONG CLAIM. THE ASSESSEE DULY PAID THE TAX AND INTEREST ON THE INCOME ASSESSED. DURING THE PENALTY PROCEEDINGS U/S 271(1)(C), THE A SSESSEE EXPLAINED AT LENGTH THE CIRCUMSTANCES UNDER WHICH THIS INADVERTE NT ERROR WAS COMMITTED BY THE CHARTERED ACCOUNTANT WHILE COMPILING THE RET URN OF INCOME AND SUBMITTED THAT THERE WAS NO MALAFIDE INTENTION WITH ANY CONSCIOUS ACT EITHER ON THE PART OF ASSESSEE OR HIS CHARTERED ACCOUNTANT BUT IT WAS ONLY AN INADVERTENT MISTAKE ON THE PART OF CHARTERED ACCOUN TANT WHILE COMPUTING THE INCOME. AN AFFIDAVIT OF THE C.A. ROHIT KHURANNA WHO HAD PREPARED THE ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 8 RETURN OF INCOME, CONFIRMING THE ABOVE FACTS WAS AL SO FILED BEFORE THE AO AS WELL AS CIT(A). IT WILL BE APPRECIATED THAT THE MIS TAKE IN THE RETURN WAS AN INADVERTENT MISTAKE ON THE PART OF THE COUNSEL OF T HE ASSESSEE AND THERE WAS ABSOLUTELY NO MALAFIDE INTENTION ON THE PART OF THE ASSESSEE TO FILE INACCURATE PARTICULARS OF HIS INCOME. THE AO IGNORED ALL THE S UBMISSIONS OF THE ASSESSEE AS WELL AS AFFIDAVIT OF THE C.A. AND LEVI ED PENALTY U/S 271(1)(C) @ 150% OF TAX SOUGHT TO BE EVADED WHICH WAS CONFIRMED BY THE LD. CIT(A). IT WAS FURTHER SUBMITTED THAT THE ASSESSEE BEING A LAY MAN IN THE TAX MATTERS WAS RELYING COMPLETELY ON HIS C.A. AS HE WAS NOT AWARE OF THE INTRICACIES OF INCOME TAX LAW REGARDING COMPUTATION OF INCOME. IT IS FOR THIS REASON ONLY THAT THE ASSESSEE HAD HIRED THE SERVICES OF A C.A. FOR THE DUE COMPLIANCE OF TAX PROVISIONS. IT WAS ALSO STATED THAT IT IS NOT A CASE OF CONCEALING THE SALE OF LAND BUT ONLY AN INADVERTENT MISTAKE ON THE PART OF COUNSEL BY TAKING THE PURCHASE DATE OF LAND AS 10.1.2003 AS AGAINST CORRE CT DATE OF FEBRUARY, 2008 AND THERE BY COMPUTING THE CAPITAL GAIN ON SALE OF LAND AS LONG TERM AS AGAINST SHORT TERM. THE ASSESSEE HAD DULY PAID THE TAX ON THE SAID LONG TERM CAPITAL GAIN. NO SANE BUSINESSMAN SHALL CONSCIOUSLY INDULGE IN THIS SORT OF TAX EVASION JUST TO SAVE 10% OF TAX WHEN HE ALREADY IS PAYING 20% TAX. THERE WAS NO MALAFIDE INTENTION TO EVADE TAX. IT MA Y BE APPRECIATED THAT AS SOON AS THE ASSESSEE REALIZED HIS MISTAKE, THE SAME WAS ACCEPTED AND BROUGHT ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 9 TO THE NOTICE OF THE AO AND THE CORRECT INCOME WAS OFFERED FOR TAX GIVING FULL COMPUTATION/DETAILS VIDE LETTER DATED 28.11.2011. T HE LD. COUNSEL FURTHER SUBMITTED THAT SINCE THE MISTAKE OCCURRED AT THE OF FICE OF THE COUNSEL FOR NO FAULT OF THE ASSESSEE, PENALTY U/S 271(1)(C) WAS WR ONGLY LEVIED AND CONFIRMED BY THE CIT(A). THE SALE OF PROPERTY IS DU LY REFLECTED IN THE RETURN. THE SALE PRICE IS ALSO CORRECTLY REFLECTED IN THE R ETURN. THE COST PRICE IS ALSO CORRECTLY REFLECTED IN THE RETURN. THE ONLY MISTAKE THAT OCCURRED WAS THE DATE OF ACQUISITION WHICH WAS WRONGLY TAKEN AS 2003 INST EAD OF 2008. 5.1. THE LD. COUNSEL FOR THE ASSESSEE ALSO RELIED U PON THE DECISIONS OF VARIOUS COURTS OF LAW, AS UNDER: I) T.ASHOK PAI VS. CIT 292 ITR 11 (SC) II) CIT VS. S.D.RICE MILLS (2005) 275 ITR 206 (P&H ) III) CIT VS. DEEP TOOLS PVT. LTD. (2005) 274 ITR 602 (P& H) IV) CIT VS. SIDHARTHA ENTERPRISES (2010) 322 ITR 90 (P& H) V) CIT VS. SOMANY EVERGREE KNITS LTD. (2013) 352 ITR 5 92 (BOM.) VI) CIT CIT VS. DHANNABAI (2009) 309 ITR 268 (DLH) VII) BTX CHEMICALS PVT. LTD. VS. CIT (2007) 288 ITR 196 (GUJ) VIII) MAJORJIT SINGH VS. ACIT (2012) 17 ITR (TRIB.) 183 ( CHD,.) ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 10 6. THE LD. DR, MR. AAMRIK CHAND, RELIED UPON THE OR DERS OF BOTH THE AUTHORITIES BELOW. 7. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE FACTS OF THE CASE. THERE IS NO DISPUTE TO THE FACT THAT M/S. SHARMA & GANGAHAR BUILDERS & COLONIZERS PVT. LTD. AND M/S. DHILLON & RANDHAWA BU ILDERS & COLONIZERS PVT. LTD. HAD PURCHASED THE PROPERTY ON 10.01.2003 IN EQUAL SHARES. M/S. DHILLON & RANDHWARA & COLONZERS PVT. LTD. HAD SOLD ITS 50% SHARE IN FEBRUARY, 2008 TO THE ASSESSEE, AND MR. KRISHAN KUM AR SHARMA ASSESSEES COUSIN IN EQUAL SHARE, WHICH IN TURN WAS SOLD ALONG WITH THE SHARE PURCHASED BY M/S. SHARMA & GANGHAR BUILDERS & COLONIZERS PVT. LTD. ON 10.01.2003 TO M/S. EDUCOMP INFRASTRUCTURE PVT. LTD. IN JUNE, 2008. THE WHOLE PROPERTY HAD IN FACT BEEN SOLD IN JUNE, 2008 I.E. ONE BEING 50% PURCHASED ORIGINALLY BY M/S SHARMA & GANGHAR BUILDERS & COLONIZERS PVT. LTD. AND REST OF 50% BY M/S. DHILLON & RANDHWARA BUILDERS & COLONIZERS P VT. LTD. , WHICH IN FACT, WAS SOLD TO THE ASSESSEE AND HIS COUSIN SH. K RISHAN KUMAR SHARMA IN FEBRUARY, 2008 AND THEN SOLD TO EDUCOMP INFRASTRUCT URE PVT. LTD; IN JUNE, 2008. THERE IS A MISTAKE BY THE ASSESSEE IN COMPUTI NG LONG TERM CAPITAL GAIN WHEREAS IN FACT, IT WAS A SHORT TERM CAPITAL GAIN, BEING PURCHASED IN FEBRUARY, 2008 AND SOLD IN JUNE, 2008. BUT MISTAKE HAS BEEN R EALIZED BY THE ASSESSEE OF HIS OWN AND TAX HAS BEEN OFFERED BY THE ASSESSEE OF HIS OWN TO THE DEPARTMENT, AS IS ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 11 EVIDENT FROM THE SUBMISSIONS REPRODUCED IN THE ASSE SSMENT ORDER AND THE AFFIDAVIT OF THE CHARTERED ACCOUNTANT PLACED ON REC ORD BEFORE THE AUTHORITIES BELOW AND EVEN BEFORE US AS WELL. IT I S ON THE MISTAKE OF CHARTERED ACCOUNTANT WHILE COMPUTING CAPITAL GAIN T HAT HE WRONGLY COMPUTED CAPITAL GAIN KEEPING IN MIND THAT THE PROP ERTY HAD BEEN ACQUIRED ON 10.01.2003. THIS APPEARS TO BE A BONA FIDE MISTA KE, WHICH, IN FACT, WAS RECTIFIED BY THE ASSESSEE ON HIS OWN NOTION. THE MI STAKE CANNOT BE TREATED AS DELIBERATE MISTAKE AND THEREFORE, THE ASSESSEE, CAN NOT BE SAID TO HAVE CONCEALED THE PARTICULARS OF INCOME AND CANNOT BE S AID TO HAVE FURNISHED INACCURATE PARTICULARS OF HIS INCOME. THE MISTAKE I S ON ACCOUNT OF THE CHARTERED ACCOUNTANT, WHO HAS SUBMITTED AN AFFIDAVI T AND THEREFORE THE AO IS NOT JUSTIFIED IN LEVYING PENALTY U/S 271(1)(C) O F THE ACT AND AS SUCH THE ORDER OF THE LD. CIT(A) IS REVERSED AND THE A.O. IS DIRECTED TO CANCEL THE PENALTY SO LEVIED. THUS, ALL THE GROUNDS OF THE ASS ESSEE ARE ALLOWED. 8. NOW, WE SHALL TAKE UP APPEAL IN ITA NO.677(ASR)/ 2013 IN THE CASE OF SH. KRISHAN KUMAR SHARMA FOR THE A.Y. 2009-10. THE FACTS IN THE PRESENT CASE ARE IDENTICAL AS IN THE CASE OF SH. NARINDER K UMAR SHARMA, IN ITA NO.676(ASR)/2013 DECIDED BY US HEREINABOVE AND OUR ORDER IN THE CASE OF SH. NARINDER KUMAR SHARMA, IN ITA NO.676(ASR)/2013 HEREINABOVE SHALL ITA NO.676(ASR)/2013 ITA NO.677(ASR)/2013 12 BE IDENTICALLY APPLICABLE IN THE PRESENT CASE. ACCO RDINGLY, ALL THE GROUNDS OF THE ASSESSEE IN THE PRESENT CASE ARE ALLOWED. 9. IN THE RESULT, THE APPEALS OF BOTH THE ASSESSES IN ITA NOS. 676(ASR)/2013 & 677(ASR)/2013 ARE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 20TH MARCH, 2014. SD/- SD/- (H.S. SIDHU) (B.P. JAIN) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 20TH MARCH, 2014 /SKR/ COPY OF THE ORDER FORWARDED TO: 1. THE ASSESSEES:1) SH.NARINDER KUMAR SHARMA (II) SH. KRISHAN KUMAR SHARMA, AMRITSAR. 2. THE ACIT CIRCLE IV/V, AMRITSAR. 3. THE CIT(A), ASR. 4. THE CIT, ASR. 5. THE SR DR, ITAT, AMRITSAR. TRUE COPY BY ORDER (ASSISTANT REGISTRAR) INCOME TAX APPELLATE TRIBUNAL, AMRITSAR BENCH: AMRITSAR