9911796707
TMI Blog2019 (9) TMI 868X X X X Extracts X X X X X X X X Extracts X X X X ..... A.Y. 2008-09. 2. The assessee by way of its grounds of appeal has challenged the imposition of penalty on additions/disallowances as under: "1.1 The order passed u/s.250 on 30-12-2014 for A.Y.2008-09 by CIT(A)-5, Abad upholding the penalty levied u/s. 271(1)(c) in respect of additions towards partners remuneration, interest income and capital gain on redemption of mutual fund is wholly illegal, unlawful and against the principles of natural justice. 1.2 The Ld.CIT(A) has grievously erred in law and or on facts in not considering fully and properly the submissions made and evidence produced by the appellant with regard to the impugned additions. 2.1 The Ld.CIT(A) has grievously erred in law and on facts in confirming the penalty levie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rried under s.40(a)(ia) of the Act. The AO made other disallowances and completed the assessment assessing the total income at Rs. 81,35,210/-. 4. The CIT(A) in first appeal granted partial relief. Meanwhile, the AO passed order of rectification under s.154 of the Act whereby the disallowance of remuneration was scaled down to Rs. 7,84,088/. Penalty proceedings were initiated on the additions/disallowances and the AO imposed penalty of Rs. 2,84,090/- on the ground of concealment of particulars of income to the extent of Rs. 9,19,372/- comprising of partners remuneration of Rs. 7,84,088/- and disallowance of manuscript expenses of Rs. 76,700/-, undisclosed capital gains of Rs. 42,131/- and interest income of Rs. 16,453/-. 5. Aggrieved by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rticulars of income by the assessee cannot be alleged as contemplated under s. 271(1)(c) of the Act. 8. In so far as inclusion of capital gains of maturity of mutual funds is concerned, it is noticed that the assessee has explained the sources of such investment but the effect of redemption was left out to be given in the books of accounts. The assessee has pleaded oversight and mistake. It was pointed out that mistake was committed as it was assumed that long term capital gains from units of mutual funds is exempt from taxation. The other additions towards interest income of Rs. 16,453/- was on account of mistake in showing correct income due to non-availability of interest income arising from IDBI Ltd. The action of the assessee was howe ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
