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TMI Blog2017 (2) TMI 498X X X X Extracts X X X X X X X X Extracts X X X X ..... s as emerges from the order of the ld. CIT(A) is as under:- 2.3 I have perused the facts of the case, the assessment order and the submissions of the appellant. Penalty of Rs. 27,759/- was levied by the Assessing Officer as the deduction on interest on housing loan had been claimed at Rs. 2,39,832/- as against Rs. 1,50,000/- allowable by law. It was submitted that during the assessment proceedings, the mistake was detected by the Authorized Representative and he advised the appellant to rectify the mistake and pay the taxes by filing a revised return. Thus, a revised computation was submitted during the assessment proceedings. The Authorized Representative's submission is that since revised computation has been submitted and the income ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 271(1)(c). It is trite laws that voluntary disclosure does not release the assessee from the mischief of penal proceedings under section 271(1)(c). The law does not provide that when an assessee makes a voluntary disclosure of his concealed income, he has to be absolved from penalty. Further, it was observed that it is the statutory duty of the assessee to record all its transactions in the books of account, to explain the source of payments made by it and to declare its true income in the return of income filed by it from year to year. In the light of the above observations of the Hon'ble Court, it is clear that the assessee, has neither made a voluntary disclosure nor recorded its transactions properly in its books of account and also not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en claimedas deduction by inadvertence for the second time. T said plea has also been repelled by the Supreme Court in MAK Data (P) Ltd.'s case (supra),as the assessee should first show by cogent and reliable evidence that there was neither concealment of particulars of income nor furnished inaccurate particulars of income. We find that the plea taken by the assessee in the letter dated Marc 24, 2005, is only cursory and does not give any acceptable explanation for the wrong computation, as the error was detected by the original authority during the proceedings u/s 143(3) and she has also recorded a categorical finding that the assessee suppressed the income by making a wrong claim of royalty payment, which actually pertained to earlier ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elf occupied property. The assessee has accepted the mistake vide letter dated 21-10- 2010 and filed revised return of income and paid the tax on difference amount. But revised return is not treated as regular return because this return is not filed on due time. Credits of the taxes are allowed to the assessee. Therefore, Rs. 89,832/- is added to the total income of the assessee. Since the assessee has concealed its income and has filed inaccurate particulars of income, therefore, penalty proceedings u/s 271(1)(c) are being initiated separately. 2.4.1 In penalty proceedings, ACIT vide his order dated 28-06-2011 imposed the penalty of Rs. 27,759/- by observing as under:- ''...... Despite the opportunity provided vide this office show c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee to rectify this mistake and pay the due taxes by filing the revised return. The assessee filed the revised return by paying the balance tax and brought to the notice of the AO during assessment proceedings by letter dated 21-10-2010. The ld. AR of the assessee submitted that the AO has not pointed out this mistake but it was detected by him. It is also noted that the AO in the assessment order mentioned that on perusal of the reply of the assessee, it is found that the assessee has wrongly claimed interest on housing loan u/s 24(b) of Rs. 2,39,832/- on self occupied property. It thus appears that the AO has not detected the mistake but it is noticed by the AO only after perusing the reply of the ld. AR of the assessee. It is furt ..... X X X X Extracts X X X X X X X X Extracts X X X X
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