2007 (3) TMI 785 - HC - Income Tax

Summary

Issues involved: Appeal challenging penalty for concealment of income u/s 271(1)(c) of Income-tax Act, 1961.

Summary:
The appellant filed an appeal challenging the penalty imposed for concealment of income u/s 271(1)(c) of the Income-tax Act, 1961. The case involved a search conducted at the assessee's premises, where documents, including a cash book photocopy, revealed unaccounted cash receipts. The Assessing Officer added these amounts to the assessee's income, leading to the penalty imposition. Despite various appeals, including to the Tribunal and High Court, the penalty was upheld based on findings of unrecorded cash receipts. The Tribunal affirmed the penalty, citing the seized document as evidence of unaccounted income. The Court dismissed the appeal, stating no substantial question of law was involved, as the penalty was justified based on the concealed income. The concurrent findings of fact by the authorities supported the penalty imposition under section 271(1)(c) of the Act.

In conclusion, the appeal challenging the penalty for concealment of income was dismissed, as the authorities were justified in levying the penalty based on the unaccounted cash receipts found during the search at the assessee's premises.