HARPAL SINGH HARPURA,DELHI vs. NFAC, DELHI, DELHI
Income Tax Appellate Tribunal, DELHI BENCH ‘SMC’, NEW DELHI
Before: Sh. Satbeer Singh Godara
This assessee’s appeal for Assessment Year 2012-13, arises against the CIT(A)/NFAC, Delhi’s DIN & order No.
ITBA/NFAC/S/250/2024-25/1067729221(1) dated
19.08.2024, in proceedings u/s 271(1)(c) of the Income Tax Act, 1961 (in short “the Act”).
Case called twice. None appears at the assessee’s behest. It is accordingly proceeded ex-parte.
It emerges during the course of hearing with the able assistance coming from the Revenue side that both the learned lower authorities have held the assessee to have concealed and furnished inaccurate particulars of his income to the tune of Rs. Harpal Singh Harpura
2
25,25,000/- which stood added as unexplained cash credits in the assessment framed on 21.12.2019. 4. Faced with this situation, learned departmental representative vehemently argues that the impugned penalty has rightly been levied in the assessee’s hands as he could not explain source of the said unexplained cash credits in quantum proceedings. he could hardly dispute the fact that the assessee had indeed sought to explain the same by leading the supportive evidence which was declined in the quantum proceedings. I accordingly accept the assessee’s instant sole grievance to delete the addition in very terms in light of CIT vs.
Reliance Petroproducts Pvt. Ltd. (2010) 322 ITR 158 (SC) that quantum and penalty proceedings are parallel proceedings wherein each and every addition/disallowance made in the course of the former does not ipso facto attract the latter penal provision in case of such a debatable issue, to delete the impugned penalty in very terms. Ordered accordingly.
This assessee’s appeal is allowed. Order Pronounced in the Open Court on 07/01/2025. (Satbeer Singh Godara)
Judicial Member
Dated: 07/01/2025
*Subodh Kumar, Sr. PS*