| |
| The Tax Publishers2019 TaxPub(DT) 5842 (Mum-Trib) INCOME TAX ACT, 1961
Section 271(1)(c)
No litigant would derive any benefit by not prosecuting its appeal filed before the appellate authorities, rather it would cause inconvenience to the aggrieved party, in case appeal was dismissed for non-prosecution. Since assessee submitted that it could not appear before AO, due to reasons beyond its control. Hence, matter was remanded back to CIT(A) and directed him to decide the appeal on merits.
|
Penalty under section 271(1)(c) - Additions loss, disallowances of certain payments under section 40A(2)(b) as well as cash payments under section 40A(3) - -
AO made additions towards disallowances of certain payments under section 40A(2)(b) and disallowances of cash payments under section 40A(3). Thereafter, penalty proceedings under section 271(1)(c) was initiated and after considering relevant submission of assessee and also taken note of material available on record, levied penalty under Explanation-1 to section 271(1)(c). CIT(A) dismissed appeal filed by assessee. Held: No litigant would derive any benefit by not prosecuting its appeal filed before appellate authorities, rather it would cause inconvenience to the aggrieved party, in case appeal was dismissed for non-prosecution. Therefore, when party not appeared for hearing, there should be some compelling reasons, beyond the control of assessee, which prevented from appearance before the authorities to explain the case. Assessee submitted that it could not appear before AO, due to reasons beyond its control. Hence, matter was remanded back to CIT(A) and directed him to decide the appeal on merits.
REFERRED :
FAVOUR : In assessee's favour by way of remand
A.Y. :
IN THE ITAT, MUMBAI BENCH
 SUBSCRIBE FOR FULL CONTENT
|