The Tax Publishers2020 TaxPub(DT) 1113 (Ctk-Trib)

INCOME TAX ACT, 1961

Section 271BA

When transactions related to assessee fell under the clause(i) of section 92BA, which was already removed by Finance Act, 2017 with effect from 1-4-2017, therefore, imposition of penalty under section 271BA, for failure to furnish the report in prescribed Form No. 3CEB in terms of provisions of section 92E, did not survive at all.

Penalty under section 271BA - Validity - Failure to furnish the report in prescribed Form No. 3CEB in terms of provision of section 92E -

Issue was as regards imposition of penalty under section 271BA on account of failure to furnish the report in prescribed Form No. 3CEB in terms of provision of section 92E. Held: On perusal of the provisions of section 92BA, it was found that once clause in said section is omitted by subsequent amendment, it would be deemed that clause (i) was never been on the statute and there is no specification in omitting the said clause by the statue as to whether the proceeding initiated or action taken on this, shall continue or not. When transactions related to assessee fell under the clause(i) of section 92BA, which was already removed by Finance Act, 2017 with effect from 1-4-2017, therefore, imposition of penalty under section 271BA, for failure to furnish the report in prescribed Form No. 3CEB in terms of provisions of section 92E, did not survive at all.

Followed:General Finance Co. & Anr. v. Asstt. CIT (2002) 257 ITR 338 (SC) : 2002 TaxPub(DT) 1644 (SC); Kolhapur Canesugar Works Ltd. v. UOI (AIR 200 SC 811) : 2000 TaxPub(EX) 1248 (SC); The CIT, He Asstt. CIT, Circle-11 (3), Bangalore v. M/s. GE Thermometrics India (P) Ltd. ITA No. 424/2009, dated 22-3-2018(Karnataka High Court); Texport Overseas Private Limited v. Dy. CIT ITA No. 1722/Bang/2017, Order, dated 22-12-2017

REFERRED : General Finance Co. & Anr. v. Asstt. CIT (2002) 257 ITR 338 (SC) : 2002 TaxPub(DT) 1644 (SC) Kolhapur Canesugar Works Ltd. v. UOI (AIR 200 SC 811) : 2000 TaxPub(EX) 1248 (SC) The CIT, He Asstt. CIT, Circle-11 (3), Bangalore v. M/s. GE Thermometrics India (P) Ltd. ITA No. 424/2009, dated 22-3-2018(Karnataka High Court) Texport Overseas Private Limited v. Dy. CIT ITA No. 1722/Bang/2017, Order, dated 22-12-2017

FAVOUR : In assessee's favour

A.Y. :



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