2011 (12) TMI 651

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... PER D.K.AGARWAL (JM) This appeal preferred by the assessee is directed against the order dated 26.3.2010 passed by the ld.CIT(A), Thane for the assessment year 2001-02. 2. Briefly stated facts of the case are that the assessee is a civil contractor and proprietor of Ashapura Construction Company. It filed return of income for AY.2001-02 on 30 .10.2001 declaring total income of ₹ 5,09,819/-. During the course of assessment proceedings the assessee produced the books of accounts which were not complete and not supported by necessary bill/vouchers, etc. In view of the incomplete books o f account the AO rejecte d the books u/s 145(2) of the Income Tax Act, 1961 (in short the Act). The AO proceeded to estimate the profit of the bus .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... le agreeing with the vie ws of the AO confirmed the penalty imposed by the AO. 4. Being aggrieved by the order of the ld. CIT(A), the assessee is in appeal before us challenging in all the grounds the sustenance of penalty imposed by the AO u/s 271(1)(c) of the Act. 5. The assessee in his written statement dated 25.11.2011 after narrating the facts of the case interalia submitted that in the absence of required information, the AO was within his rights to estimate the pro fits but there is no particulars suggesting any specific concealment of income and hence levy of penalty merely on the basis of estimated income as concealed income dese rves to be delete d. In the alternative, the assessee submits that the penalty may be restricted .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of Tamil Nadu (2009) 23 VST 249 (SC) have observed and held (page 158 headnote s) as under: A glance at the provisions of section 271(1)(c) of the Income- tax Act, 1961, suggests that in order to be co vered by it, there has to be concealment of the particulars o f the income of the assessee. Seco ndly, the assessee must have furnished inaccurate particulars o f his income. The meaning of the word particulars used in section 271(1)(c) would embrace the details of the claim made. Where no information given in the return is found to be incorrect or inaccurate, the assessee cannot be held guilty of furnishing inaccurate particulars. In order to expose the assessee to penalty, unless the case is strictly covere d by the provision, the pe .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X