9911796707
TMI Blog2012 (10) TMI 569X X X X Extracts X X X X X X X X Extracts X X X X ..... able and as a sequel thereto, penalty u/s 271B was not leviable. Issue decides in favour of assessee - IT APPEAL NOS. 494 & 495 OF 2005 - - - Dated:- 17-7-2012 - AJAY KUMAR MITTAL AND G.S. SANDHAWALIA, JJ. Tajinder Joshi for the Respondent. JUDGMENT Ajay Kumar Mittal, J. - Learned counsel for the appellant has supplied the photo copies of the paper-books for the purposes of reconstruction of the files as the same were burnt in fire which took place in the premises of this Court. The same are taken on record and are treated to be reconstructed files. 2. This order shall dispose of ITA Nos. 494 and 495 of 2005 as identical questions of law and facts are involved in both the appeals. For brevity, the facts are being e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd expenditure account showing total receipt of Rs. 7,30,58,508.30. Subsequently, the assessee had also furnished the break up of this income as:- "1. U/s 10 59545/- 2. Market Fee 57871269/- 3. Composition Fee 15315/- 4. Sale of forms 19040/- 5. Other Misc. Fee 2000/- 6. Security 138/- 7. Misc. Income 79282.59 8. Rent 754076.10 9. Interest of investment 14092311.61 10. S/A 162300.00 73058507.30" 5. Since the gros ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ient to refer to Section 44AB of the Act as it existed at the relevant time which reads thus:- "44AB. Every person,- (a) carrying on business shall, if his total sales, turnover or gross receipts, as the case may be, in business exceed or exceeds forty lakh rupees in any previous year; or (b) carrying on profession shall, if his gross receipts in profession exceed ten lakh rupees in any previous year; or get his accounts of such previous year or years audited by an accountant before the specified date and obtain before that date the report of such audit in the prescribed form duly signed and verified by such accountant and setting forth such particulars as may be prescribed: Provided that this section shall not apply to the pers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r may direct that such person shall pay, by way of penalty, a sum equal to one-half per cent of the total sales, turnover or gross receipts, as the case may be, in business, or of the gross receipts in profession, in such previous year or years or a sum of one hundred fifty thousand rupees, whichever is less." 10. Under Section 271B of the Act, penalty is leviable for any of the following defaults:- "(1) Failure to get the accounts audited as required under section 44AB; or (2) Failure to furnish the said report." 11. Chapter IV of the Act provides for 'computation of total income'. Section 44AB of the Act is one of the sections enacted under Chapter IV-D dealing with computation of profits and gains of business or profession. Se ..... X X X X Extracts X X X X X X X X Extracts X X X X
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