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Facts
The assessee filed an appeal against an order under section 271(1)(b) of the Income Tax Act for AY 2016-17. The assessee had not complied with notices issued by the Assessing Officer under sections 142(1) and 144.
Held
The Tribunal held that there was non-compliance to the notices issued by the AO, and no sufficient cause was provided by the assessee for this non-compliance, deeming it voluntary. Consequently, the order under section 271(1)(b) was upheld.
Key Issues
Whether the assessee provided sufficient cause for non-compliance with notices issued by the AO, leading to the imposition of penalty under section 271(1)(b).
Sections Cited
250, 271(1)(b), 142(1), 144, 115WD, 115WE, 143, 142(2A)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, PUNE BENCHES “B” :: PUNE
Before: DR.DIPAK P. RIPOTE & SHRI VINAY BHAMORE
This is an Appeal filed by the Assessee against the Order of the Commissioner of Income tax (appeal) (NFAC) under section 250 of the Income Tax Act, 1961 for A.Y.2016-17 dated 29/10/2024 emanating from Penalty Order u/s.271(1)(b) dated 19/02/2024.
Findings & Analysis : We have heard both the parties and perused the records. In this case, Assessing Officer (AO) has passed order u/s.271(1)(b) of the Act dated 19.02.2024 for A.Y. 2016-17. It is an admitted fact by ld. AR that AO had issued notice u/s.142(1) on 01.02.2023 and 24.02.2023. It is also an admitted fact that assessee has not complied these notices issued by ld. AO. We specifically asked ld. AR whether any adjournment letter was filed requesting for adjournment. Ld. AR submitted that no adjournment letter was filed. AO had also issued a show cause notice u/s.144 of the Act on 27.03.2023 but all these remained uncomplied with. The only reason given by ld. AR is that notices were received by one Account Clerk of the assessee and Account Clerk failed to bring this to the notice of the officers. Aggrieved by the order u/s.271(1)(b) dated 19.02.2024 assessee filed appeal before ld.CIT(A) with a delay. Assessee submitted before ld.CIT(A) that delay was caused on account of the Account Clerk of the assessee. In this case, the facts are that assessee has not complied notices u/s.142(1) and 144 of the Act issued by ld. AO. Section 271(1)(b) of the Act is reproduced hereunder : “(b) has failed to comply with a notice under sub-section (2) of section 115WD or under sub-section (2) of section 115WE or under sub-section (1) of section 142 or sub-section (2) of section 143 or fails to comply with a direction issued under sub-section (2A) of section 142, or”
2.1 Admittedly, there was non-compliance to the notices issued by AO. No sufficient cause has been submitted by the assessee for non-compliance. This non-compliance was voluntary. In these facts and circumstances of the case, we uphold the order u/s.271(1)(b) of the Act. Grounds of appeal raised by the assessee are dismissed.
In the result, the appeal filed by the assessee is dismissed.
Order pronounced in the open Court on 28th August, 2025.