NARESH KUMAR SINGH,DHANBAD vs. ITO,WARD-1(3),, DHANBAD

These two assessee’s appeals for assessment years 2011-12 & 2012-13; respectively are directed against the CIT(A)-Dhanbad’s orders dated 04/12/2018 passed in case no. CIT(A), Dhanbad/10034& 100033/2016-17; respectively involving penalty proceedings u/s 271A of the Income Tax Act, 1961 ( in short the ‘Act’). Heard both the parties. Case files perused.

We find during the course of hearing that both the lower authorities have imposed u/s 271A penalties of Rs. 25,000/- each on account of assessee’s not having maintained books of accounts. Case file indicates that this assessee had been acting as a transport agent on behalf of other parties without having turnover of his own. We conclude in view of this clinching fact that the same sufficiently & 72/Ran/2019 Shri Naresh Kumar Singh A.Ys. 2011-12 & 2012-13 suggests to be a debatable issue regarding maintenance of books of account and therefore, the impugned penalty deserves to be deleted. We order accordingly.

In the result, assessee’s two appeals are allowed.