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2020 (3) TMI 280 - ITAT LUCKNOWPenalty u/s 271(1)(c) - Non specification of charge - whether it is for concealment of income or for furnishing of inaccurate particulars of income - HELD THAT:- The law mandates that the authority, who is proposing to impose penalty, shall be certain as to the basis on which the penalty is being levied and the notice must reflect that specific reason, so that the assessee, to whom such notice is given, can prepare himself regarding the defence, which he would like to take to support his case. This is even enshrined in the principles of natural justice and as has been upheld by Hon'ble Apex Court and other High Courts. We hold that the show cause notice, which has not specified the charge and limb under which the penalty is proposed to be levied, is void ab initio and the consequent penalty imposed on the basis of such notice is, therefore, illegal and bad in law and liable to be deleted. - Decided in favour of assessee
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