2010 (8) TMI 732

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..... opped from contending to the contrary, denied the liability to pay interest - whether the conditions prescribed in Section 11AC of the Act exist or not – Held that:- assessee is to be given an opportunity to offer explanation and to contend that none of the conditions prescribed in the Section exist in this case. - C.E.A. No. 14 of 2007, - - - Dated:- 12-8-2010 - N. Kumar and H.S. Kempanna, JJ .....

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..... ty to avoid payment of penalty if any, as the law stood then. He claimed the benefit in terms of the Board s circular as at any rate, Board is estopped from contending to the contrary. Similarly, he denied the liability to pay interest. When the law being laid down by the Apex Court to the effect that before the penalty is imposed under the Act, the condition prescribed under the Section have to b .....

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..... such cause shown by him the authority has to decide to impose or not to impose penalty. That exercise was not done as it was not required to be done in view of the law as laid down. With the change in the law by the pronouncement of the Apex Court, though the view expressed by the authorities is no more correct, still the penalty is not automatic. Therefore an opportunity is to be given to the as .....

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