THE PRINCIPAL COMMISSIONER OF INCOME TAX 4 vs. M/S BHAGWATI BANQUETS AND HOTELS LTD

The Revenue is in appeal against the judgment of   the   Income   Tax   Appellate   Tribunal   dated 13.11.2017   raising   the   following   substantial question of law for our consideration; Whether the Appellate Tribunal has erred in law and on facts in deleting penalty levied u/s.271(1)(c) of the Act ?

The issue pertains to penalty u/s.271(1)(c) of the Income Tax Act, 1961, which the Tribunal deleted making the following observations; “6. We have heard both the sides and perused C/TAXAP/472/2018 ORDER the   material   on   record.   The   assessee   has furnished the details showing that payment of these service tax was made after the due date for filing the return of income. We observe that the necessary details were furnished in the tax audit report but the date of payment was   left   blank   in   the   audit   report   by inadvertent   mistake   and   the   assessee   has claimed deduction of the said amount in the succeeding   assessment   year   2008­09   in   the revised   return   filed.   Regarding   brought forward unabsorbed losses / depreciation, the ld. Counsel has submitted that assessee has not furnished inaccurate particulars as both the returned losses and the assessed losses of earlier years were part of the assessment record. After considering the facts as above and the findings of the ld. CIT(A) we observe that   it   cannot   be   said   that   assessee   has furnished inaccurate particulars or concealed income, therefore, we do not find any error in   the   decision   of   the   ld.   CIT(A). Accordingly,   the   appeal   of   the   revenue   is dismissed.”

In brief, the Tribunal came to the conclusion that   the   assessee   had   not   given   inaccurate particulars of the income and had filed revised Return   to   correct   the   inadvertent   mistake.   No question of law arises. Hence, the Tax Appeal is dismissed. (AKIL KURESHI, J) (B.N. KARIA, J) PRAVIN KARUNAN