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Section 271(1)(c) of the Income-tax Act, 1961 - Penalty - For concealment of income - Assessment year 1982-83 - Where difference in violation of stock was only because of lower gross profit rate which was also corrected by assessee by revised return disclosing higher gross profit rate, there was no intentional concealment on part of assessee and, therefore, levy of penalty under section 271(1)(c) was not justified [In favour of assessee] During the course of assessment proceedings, it was detected that the assessee had suppressed the value of closing stock. The Assessing Officer made addition on that account and also imposed penalty under section 271(1)(c) upon assessee. On appeal, the Commissioner (Appeals) deleted the penalty holding that there was no quantitative suppression of stocks by the assessee but the difference in valuation of stocks had been detected only because of the lower G.P. which was also corrected by disclosing higher G.P. in revised return. The Tribunal upheld order of the Commissioner (Appeals). Held that there was no mens rea for concealment of income which had formed the basis for making additions to the income of the assessee. The assessee had disclosed higher G.P. rate. In the revised return and on that basis the intentional concealment could not be held. Further, the Assessing Officer had not found any sales or purchases outside the books of account and if there had been any intention in the mind of the assessee, the latter would have erased those cuttings. Therefore, the penalty was rightly deleted. CASES REFERRED TO CIT v. Sardar Singh Sachdeva [1972] 86 ITR 387 (Punj. & Har.) (para 6). JUDGMENT Ajay Kumar Mittal, J. - This appeal filed under section 260A of the Income-tax Act, 1961 (for short "the Act"), at the instance of the Revenue is directed against the order of the Income-tax Appellate Tribunal, Amritsar Bench, Amritsar (for short "the Tribunal"), passed on May 27, 1999, in Income-tax Appeals Nos. 467 and 468 (ASR)/1990, for the assessment year 1982-83. 2. The facts as narrated in the petition are culled out hereunder. 3. The matter herein relates to assessments made for two periods during the assessment year 1982-83, the…

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