Law:

Section:

Section 271(1)(c) of the Income-tax Act, 1961 - Penalty - For concealment of income - Assessment year 1978-79 - Assessee's original return was accepted under section 143(1) - Vide order sheet entry dated 27-9-1978 assessee was asked by Assessing Officer to furnish details of purchase and sale of cycles - Thereafter assessee filed a revised return declaring higher income and stated that revised return was filed on detecting mistake in closing stock valuation and there was no intention to conceal its income when it originally filed its return of income declaring lesser closing stock - Assessing Officer did not accept explanation and made certain addition and also levied penalty under section 271(1)(c) - Whether since order sheet entries did not mention anything about concealment of closing stock having been detected by Assessing Officer till date of filing revised return and no concealment had been found in revised return, penalty under section 271(1)(c) could not be levied - Held, yes Rakesh Kumar for the Applicant. A.N. Mahajan for the Respondent. ORDER 1. The Income-tax Appellate Tribunal, Allahabad has referred the following question of law under section 256(2) of the Income-tax Act, 1961, (hereinafter referred to as 'the Act') for opinion to this Court, relating to the assessment years 1981-82 and 1982-83 :- "Whether on a true and correct interpretation of the provision of law as contained in section 139(4) read with section 271(1)(c) of the Income-tax Act, 1961 and Explanation thereto and application of such provisions to the facts of the case, the penalty for concealment and/or gross or wilful neglect was liviable in the instant case?" 2. Briefly stated the facts giving rise to the present reference are as follows:- The reference relates to the assessment year 1978-79 in proceedings arisen out of imposition of penalty under section 271(1)(c) of the Act. The applicant has been assessed to the income-tax in the status of a firm. Its accounting period for the assessment year in question ended on 31-3-1978. Return for the aforesaid previous year was filed by the applicant originally declaring an income of Rs. 38,590 which was accepted under section 143(1) of…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492