Rajiv Jain v. Asstt. Commissioner of Income -tax, Central Circle-1
[Citation -2016-LL-0920-55]
| Citation | 2016-LL-0920-55 |
|---|---|
| Appellant Name | Rajiv Jain |
| Respondent Name | Asstt. Commissioner of Income -tax, Central Circle-1 |
| Court | ITAT-Delhi |
| Relevant Act | Income-tax |
| Date of Order | 20/09/2016 |
| Assessment Year | 2007-08 |
| Judgment | View Judgment |
| Bot Summary: | The only grievance of the assessee in this appeal relates to the confirmation of penalty levied by the AO u/s 271(1)(c) of the Income Tax Act, 1961. Counsel for the assessee at the very outset stated that the addition on the basis of which the penalty u/s 271(1)(c) of the Act was 2 ITA No. 5731/Del/2013 Rajiv Jain levied by the AO has been deleted by the ITAT in ITA No. 2913/Del/2012 for the assessment year 2007-08 vide order dated 25.07.2014. We may mention that the Hon ble Delhi High Court vide its order dated 12.10.2105 in ITA No. 351/2015 has confirmed the order of the ITAT. The ld. After considering the submissions of both the parties and material on record, it is noticed that the AO framed the assessment u/s 143(3) of the Act on 24.12.2009 by making an addition of Rs.65,00,000/- u/s 68 of the and also initiated the penalty proceedings u/s 271(1)(c) of the Act and levied the penalty of Rs.21,87,900/- which was confirmed by the ld. The addition on the basis of which the impugned penalty u/s 271(1)(c) of the Act was levied is now not in existence the said penalty u/s 271(1)(c) of the Act does not survive. On a similar issue the Hon ble 3 ITA No. 5731/Del/2013 Rajiv Jain Supreme Court in the case of K.C Builders Vs ACIT 265 ITR 562 held as under: Where the additions made in the assessment order on the basis of which penalty for concealment is levied, are deleted, there remains no basis at all for levying penalty for concealment and in such a case no penalty can survive and the penalty is liable to be cancelled. In view of the above, the penalty levied by the AO and sustained by the ld. |