9911796707
TMI Blog1995 (4) TMI 58X X X X Extracts X X X X X X X X Extracts X X X X ..... orrect in law in cancelling penalty of Rs. 2,00,890 imposed under section 271(1)(c) of the Act ? The assessee-firm carried on business in hing, jeera, dry fruits, etc., in Delhi and Bombay. The assessee filed its return of income for the previous year relevant to the assessment year 1983-84 on September 28, 1983, declaring its total income at Rs. 71,850. The Income-tax Officer completed the assessment of the assessee on March 25, 1986, computing the total income of the assessee at Rs. 11,27,429. In the appeal before the Commissioner of Income-tax (Appeals), the said amount was reduced and the assessee was finally assessed at Rs. 3,90,205 on the basis of the order passed by the Income-tax Appellate Tribunal. Thereafter the Income-tax Offic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Income-tax Officer levying penalty on him the assessee appealed to the Commissioner of Income-tax (Appeals) who dismissed the appeal. In the second appeal filed by the assessee before the Tribunal, the appeal was allowed holding that there was no justification for treating the aforesaid additions as concealed income or income from undisclosed sources. Mr. Pandey, appearing for the Revenue, during the course of his arguments submitted that the Tribunal was not justified in giving a contrary finding to ignoring its own findings in the quantum appeal on the same set of facts and accordingly a question of law does arise from the aforesaid findings of the Tribunal. In support of his submissions, learned counsel for the Revenue relied upon the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at although penalty has been regarded as an additional tax in a certain sense and for certain purposes, it is not possible to hold that penalty proceedings are essentially a continuation of the proceedings relating to assessment where a return has been filed. For all practical purposes proceedings for imposition of penalty though emanating from proceedings for assessment are independent and separate aspects of the proceedings and, therefore, the Tribunal is justified in considering the evidence as disclosed from the records independently without in any way considering the earlier findings in the quantum appeal to be binding or conclusive. In that view of the matter, in our opinion, the Tribunal was justified in the instant case in apprecia ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
