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Section 271(1)(c) of the Income-tax Act, 1961 - Penalty - For concealment of income - Assessment year 1993-94 - Where gift received by assessee was found to be bogus, it could be said that assessee had furnished inaccurate particulars of income and hence penalty imposed upon it under section 271(1)(c) was justified [In favour of revenue] The assessee had received a gift on payment of an equal amount in cash, along with premium for arranging that gift. During proceedings under section 148 initiated against the assessee, the amount equal to the amount of the gift was added to the income of the assessee. Proceedings under section 271(1)(c) were also initiated against the assessee whereby a penalty was imposed on the assessee. The Commissioner (Appeals) as well as the Tribunal cancelled the penalty. Held that the gift said to have been received by the assessee was held to be bogus. Once that was so, the only conclusion was that the assessee had furnished inaccurate particulars of his income and the order of the Tribunal deleting the penalty was not sustainable in law. Yogesh Putney for the Appellant. D.K. Goyal for the Respondent. JUDGMENT Ajay Kumar Mittal, J. - This appeal under section 260A of the Income-tax Act, 1961 (for short "the Act"), has been filed by the Revenue against the order dated March 2, 2006, passed by the Income-tax Appellate Tribunal, New Delhi Bench "SMC", New Delhi (in short "the Tribunal") in I. T. A. No. 4892/Del/2005, relating to the assessment year 1993-94. 2. The appeal was admitted on March 26, 2007, for determination of the following substantial question of law : "Whether on the facts and in the circumstances of the case, the learned Income-tax Appellate Tribunal was right in law in confirming the order of the Commissioner of Income-tax (Appeals) in cancelling the penalty levied under section 271(1)(c) by placing reliance upon the case of CIT v. Munish Iron Store[2003] 263 ITR 484 (P&H), whereas the facts of the two are entirely different ?" 3. The facts, in brief, necessary for adjudication as narrated in the appeal, are that during the assessment year under consideration, the assessee had received a gift amounting to Rs. 1,75,000…

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