The Tax Publishers2020 TaxPub(DT) 0735 (Ind-Trib)

INCOME TAX ACT, 1961

Section 271(1)(c)

AO in the notice issued under section 274 read with section 271(1)(c) failed to specify particular charge of offence, i.e., whether penalty had been initiated for concealment of pariculars of income or for furnishing of inaccurate particulars of income. This amounted to violation of principles of natural justice and penalty levied on the basis of such defective notice suffering from serious technical error could not be sustained.

Penalty under section 271(1)(c) - Concealment or furnishing of inaccurate particulars - No mention of specific charge in penalty notice -

Assessee challenged penalty levied by AO under section 271(1)(c) on the ground of non-mention by AO of particular charge of offence in penalty notice.Held: AO in the notice issued under section 274 read with section 271(1)(c) failed to specify particular charge of offence, i.e., whether penalty had been initiated for concealment of particulars of income or for furnishing of inaccurate particulars of income. This amounted to violation of principles of natural justice and penalty levied on the basis of such defective notice suffering from serious technical error could not be sustained.

Followed:Varad Mehta [ITA. No. 693/Ind/2016] : 2019 TaxPub(DT) 404 (Ind-Trib), Varad Mehta [ITA. No. 693/Ind/2016] : 2019 TaxPub(DT) 404 (Ind-Trib), Keti Sangam Infrastructure (I) Ltd. & Ors. [ITA No 1343 & 601/Ind/2016, dt. 27-6-2018], CIT v. Manjunatha Cotton Ginning Factory (2014) 359 ITR 565 (Karn() : 2014 TaxPub(DT) 202 (Karn-HC) and CIT v. SSA'S Emerald Meadows (2016) 73 Taxman.com 248 (SC) : 2016 TaxPub(DT) 4242 (SC).

REFERRED :

FAVOUR : In assessee's favour.

A.Y. :

INCOME TAX ACT, 1961

Section 271AAB

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