2012 (12) TMI 1040 - AT - Income Tax

Summary

Issues involved: Appeal against penalty u/s 271(1)(c) for difference in stock valuation between bank statement and books of accounts.

Summary:
The appeal was against the penalty imposed u/s 271(1)(c) for a difference in stock valuation between the stock statement provided to the bank and the stock as per books of accounts. The appellant argued that there was no intention to conceal income and that the stock records were maintained accurately. The tribunal noted that a similar issue had been decided in favor of the assessee for the assessment year 2001-02. The tribunal found that the facts were identical in both years, and since the penalty had been deleted for the earlier year based on a High Court judgment, the penalty for the current year was also deleted. The appeal of the assessee was allowed, and the penalty was removed.