SHABIR HASHAM SAYYED,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE - 14,, PUNE

This assessee's appeal for A.Y. 2014-15 arises against the CIT(A)-7, Pune’s order dated 05-04-2018 passed in case No. PN/CIT(A)-7/Cir- 14/10669/2016-17 involving proceedings u/s 271(1)(b) of the Income-tax Act, 1961, in short “the Act”.

Coming to assessee’s sole substantive grievance that both the learned lower authorities have erred in law and on facts in imposing section 271(1)(b) penalty of Rs. 10,000/-, we find at the outset that the same had arisen on account of taxpayer’s non-co-operation to Assessing Officer section 143(2)/242(1) notices dated 01-06-2016. Mr. Walimbe could hardly rebut the clinching fact that the assessee’s impugned default appears to be reasonable only as he could not appear on a single instance. There is no further indication that the Assessing Officer did not frame section 143(3) assessment based on the corresponding details supplied. Faced with this situation, we conclude that the impugned penalty is not sustainable in law. The same stands deleted.

This assessee’s appeal is allowed.