9911796707
TMI Blog2019 (7) TMI 597X X X X Extracts X X X X X X X X Extracts X X X X ..... nformation sought by the ITO(intelligence) u/s 133(6) it is of the view that the order imposing penalty cannot be quashed. It is ordered accordingly. we hold that the CIT(A) is justified in upholding the order passed u/s 272A(2)(c) - Decided against assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... under Section 133(6) and that there was no mention in the notice issued by Income Tax Officer (I&CI) about any such "enquiry" under the Income Tax Act 1961. E. The Commissioner of Income-tax (Appeals) ought to have seen that the imposition of penalty is time barred under section 275(1) (c) of The Income Tax Act 1961in as much as the proceedings for imposition of penalty was initiated on the date of notice issued by the Income Tax Officer (I&CI), Kochi for the initiation of such proceedings. G. The provision u/s 272(A)(2) permits to impose penalty for a sum of ₹ 100/- for every day during which the failure continues. In the case of this appeal the appellant has sought time to produce the details by written letter. But the respondent has not rejected the request of the appellant. Later the Joint Director of Income Tax(I&CI), Kochi (Intelligence), in his notice dated 01-06-2015 asked to show cause why penalty proceedings under section 272A should not be initiated. The respondent can only impose penalty from 01.06.2015 to 22.12.2015 the date of imposition of penalty. The respondent has wrongly taken 831 days instead of 202 days. Therefore the quantum calculation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 39; thereon. Later, an amendment was introduced as per the Finance Act 1995 whereby, the words ''enquiry or" were inserted before the word ''proceeding'' in Section 133(6), also adding the '2nd proviso' to the said provision, with effect from 1.7.1995. The effect of the said amendment is that, the power to call for information under the un-amended Act which was confined only in relation to a 'pending proceeding' came to be widened, and even in a case where no proceeding was pending, such information could be called for as part of the enquiry, subject to the rider that, such power was not to be exercised by any income tax authority below the rank of Director or Commissioner without the prior approval of the Director or the Commissioner, as the case may be. The said amendment was brought about as a measure to tackle tax evasion effectively, as clarified by the Central Board of Direct Taxes (CBDT) vide Circular no. 717 dated 14.8.1995, which reads as follows: "Power to call for information when no proceeding is pending. - ... 41.2 At present the provisions of sub-section (6) of section 133 empower Income-tax authorities to call f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ositors who hold deposits above a particular sum is certainly permissible. 20. In the instant case, by the impugned notice the assessing authority sought for information in respect of its customers which have cash transactions or deposits of ₹ 1,00,000 or above for a period of three years, without reference to any proceeding or enquiry pending before any authority under the Act. Admittedly, in the present case, notice was issued only after obtaining approval of the Commissioner of Income-tax, Co chin. In the light of the aforesaid, we are of the considered opinion that the assessing authority has not erred in issuing the notice to the assessee-financial institution requiring it to furnish information regarding the account holder with cash transactions or deposits of more than ₹ 1,00,000. 21. Therefore, we hold that the Division Bench of the High Court was justified in its conclusion that for such enquiry under section 133(6) the notice could be validly issued by the assessing authority. 22. In view of the above, the appeal requires to be dismissed and accordingly, stands dismissed. " 8.3 In the light of the judgment of the Hon'ble Apex Court (supra) and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Society, for seeking information u/s 133(6) of the Act there was total lack of co-operation on the part of the assessee society as well as threat (reference order imposing penalty u/s 272A(2)(c) in appeals ITA No.202/C/2017 and ITA N0.217/C/ 2017). Since there is no reasonable cause furnished by the assessee as mentioned u/s 2738 of the I T Act for non furnishing of information sought by the ITO(intelligence) u/s 133(6) of the Act I am of the view that the order imposing penalty cannot be quashed. It is ordered accordingly. 9 In the result, the appeal in ITA No.473/Coch/ 2015 is dismissed. 10. Both the parties have agreed that the facts considered by the Tribunal in ITA No 473/C/2015 are identical to the facts of the other appeals. Therefore, for the reasons stated in para 8 to 8.6, the appeals in ITA Nos. 243/Coch/2013, 544/Coch/ 2015, 190/Coch/2016, 126/Coch/2017, 158/Coch/ 2017, 153/Coch/2017, 146/C/2017, 194/C/2017, 159/C/2017, 197/C/2017, 196/C/2017, 195/C/ 2017, 152/C/2017, 204/C/2017, 206/C/2017, 200/C/2017, 198/C/2017, 202/C/2017, 201/C/ 2017 and 217/C/2017 are dismissed. 11 To sum-up all the 21 appeals filed by the different assessees are dismissed." 4. In view ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
