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TMI Blog1991 (9) TMI 131X X X X Extracts X X X X X X X X Extracts X X X X ..... essee. In the course of the penalty proceedings, the ITO took note of the facts that the addition of Rs. 60,000 as had been made in the assessment proceedings had been reduced, in appeal, to Rs. 25,000 only. He, therefore, was of the opinion that the assessee had concealed the particulars of his income of Rs. 25,000. He, therefore, worked out the minimum penalty at Rs. 9,420 which was equal to the tax stated to have been avoided by the assessee. 3. In appeal, however, the learned Dy. CIT(A) noted that the assessee had filed his return of income for asst. yrs. 1973-74 to 1975-76 under the Voluntary Disclosure Scheme and in his return for asst. yr. 1973-74, the assessee had disclosed cash in hand at Rs. 75,000. Though the assessee, on being ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gned penalty. The learned DR further submitted that Expln. to s. 271(1)(c), as was in force, during the period between 1st April, 1964 to 31st May, 1975, casts the burden to prove the difference of 20 per cent between the returned income and the assessed income on the assessee which the assessee had miserably failed in the present case. He, therefore, submitted that he penalty levied by the ITO be restored. 5. Mr. Ranka, Advocate supported the order under appeal and submitted that as held by the Rajasthan High Court decision in the case of CIT vs. Goswami Smt. Chandralata Bahuji (1980) 125 ITR 700 (Raj) something more than what was foudn in the assessment proceedings was required for success in penalty proceedings. The words "something mor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , agriculture and livestock breeding carried on by the appellant, the appellant was required to keep substantial cash balance with him. As per wealth-tax assessment records, even for the subsequent assessment years, the assessee was having huge cash balance, ranging between Rs. 85,000 to Rs. 1,10,000 with him. After considering the above facts and circumstances of the cash, I am of the view that it would be reasonable to treat the cash balance to the extent of Rs. 50,000 shown by the appellant. The remaining unexplained cash of Rs. 25,000 is, therefore, added to the income of the assessee for the asst. yr. 1973-74 under s. 69 (sic) of the IT Act, 1961." The above view of the AAC was upheld by the Tribunal in the following terms: "Coming t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... proach adopted by the Revenue in the wealth-tax assessment can no doubt be not regarded as on estoppel against Revenue or the orders passed in those proceedings as res judicata in assessments and or penalty proceedings. Yet, the conduct of the Revenue as also the order passed in wealth-tax assessment would be a relevant factor for the consideration of the pertinent question, whether the income represented by the addition was concealed income of the assessee resulted from any fraud or gross or wilful neglect on his part. That is totally missing in this case. In our opinion, therefore, the order under appeal is justified on the facts and circumstances of the case and needs no modification at our level.
7. The appeal is dismissed. X X X X Extracts X X X X X X X X Extracts X X X X
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