INCOME TAX ACT,1961

Section 271(1)(c)

Penalty under section 271(1)(c) - Furnishing of inaccurate particulars of income - Change of head of income -

AO treated the rental income as 'Income from House Property' in place of Income from business or profession shown by assessee and thereafter penalty proceedings under section 271(1)(c) were initiated on the ground of concealment of income. Assessee submitted that mere change in head of income could not be construed as concealment of income or furnishing of any inaccurate particulars of income as all the facts were available on record. Held: Where there was no finding that any details supplied by assessee were incorrect or erroneous or false there was no question of inviting the penalty under section 271(1)(c); and mere change in the head of income in assessment could not be construed as concealment of income or furnishing of any inaccurate particulars of income.

Followed:CIT v. Reliance Petroproducts (P) Ltd. (2010) 322 ITR 158 (SC) : 2010 TaxPub(DT) 1683 (SC), Hindustan Steel Limited v. State Of Orissa (1972) 83 ITR 26 (SC) : 1972 TaxPub(DT) 9 (SC), Pr. CIT-II v. M/s. GK Properties (P) Ltd. (2015) 377 ITR 417 (T&AP) : 2015 TaxPub(DT) 4002 (AP-HC),CIT v. Amit Jain (2013) 351 ITR 74 (Del) : 2013 TaxPub(DT) 680 (Del-HC),CIT v. Escorts Finance Ltd. (2010) 328 ITR 44 (Delhi) : 2010 TaxPub(DT) 733 (Del-HC),M/s. Espire Infolabs Private Limited v. Income Ta x Officer in (ITA No. 4190/Del/2013, dt. 6-6-2014),Rai Industrial Power (P) Ltd. v. DCIT, Circle-15(1), New Delhi in (I.T.A. No. 4862/Del/2013, dt. 4-4-2014), ACIT v. Global Associates in (ITA No. 4819/Del/2012, dt. 28-6-2013),M/s. Vidhya Synthetic (I) (P) Ltd. v. Dy. CIT, Circle-Palghar, Thane in (ITA No. 3647/Mum./2011, dt. 25-7-2012), Assistant CIT, Circle 4(1), New Delhi v. Jindal Equipment Leasing & Consultancy Services Ltd. in (IT Appeal Nos. 3808-3809 (DELHI) of 2010, dt. 21-4-2011), Deputy CIT, Circle 13 (1), New Delhi v. Nalwa Investments Ltd. in (ITA No. 3805 (Del)/2010, dt. 29-10-2010)

REFERRED :

FAVOUR : In assessee's favour

A.Y. :

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