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TMI Blog2020 (6) TMI 376X X X X Extracts X X X X X X X X Extracts X X X X ..... motion. Petitioner is well within the right to assail the aforementioned order, as the impugned order is dated 17.3.2020 and the limitation in the instant case expired during the lock down but as per the Government directive and judgment of the Full Bench of this Court limitation prescribed already stood extended. Petitioner if so advised shall be at liberty to assail the aforementioned order. Any observation hereinabove would not prejudice the right of the petitioner in case the remedy is availed. In view of what has been noticed, this writ petition sans merit and accordingly, dismissed. X X X X Extracts X X X X X X X X Extracts X X X X ..... se, Learned Senior Counsel submits that the petitioner was surprised to receive a notice dated 17.9.2018 under Section 43 of the Black Money Act, whereby the Officer concerned contemplated to impose a penalty for failure to furnish the return of income and information. The aforementioned notice was duly replied giving extensive details with a further request to drop the aforementioned penalty proceedings. Petitioner appeared and filed a detailed objection on 11.3.2016 as per Ext.P6. During the aforementioned hearing reliance was also laid to the Central Board of Direct Tax circular No.13 dated 6.7.2016, particularly the Question and Answer No.17 evident from Ext.P7. He further submitted that the petitioner was astounded to receive the impug ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Clause 13 and Question No.17 of the Circular 15 reported on 6.7.2016 ibid conforms that the report in Schedule FA would not bring to tax to such undeclared assets, whereas in the instant case, assets have acquired out of non-taxable income earned by the assessee, while he was a non-Resident and thus the non-reporting of such non-taxable assets cannot attract the penalty as contemplated under section 43 of the Act. The Clarification given in Paragraph 18 of the circular ibid is vague and not in accordance with the provisions of the Act or Income tax Act. The Rule making authority cannot for the sake of repetition override or go beyond the provisions of the Act or spirit of law. 6. Petitioner was under a bonafide belief that the disclosure ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... comes to the notice of the Assessing Officer. (2) For the purpose of this section "value of an undisclosed asset" means the fair market value of an asset (including financial interest in any entity) determined in such manner as may be prescribed. 9. As per Section 11 (2) undisclosed asset located outside India means an asset (including financial interest in any entity) located outside India, held by the assessee in his name or in respect of which is a beneficial owner, and has no explanation about the source of investment in such asset or explanation given to him is in the opinion of the Assessing Officer unsatisfactorily. 10. The assessment proceedings are provided under Section 10 of the Act. The procedure for assessment has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ome from a source located outside India, at any time during such previous year, the Assessing Officer may direct that such person shall pay, by way of penalty, a sum of ten lakh rupees: Provided that this section shall not apply in respect of an asset, being one or more bank accounts having an aggregate balance which does not exceed a value equivalent to five hundred thousand rupees at any time during the previous year Explanation - The value equivalent in rupees shall be determined in the manner provided in the Explanation to section 42. This clause relates to penalty for failure to furnish in return of income, an information or furnish inaccurate particulars about an asset (including financial interest in any entity) located outside I ..... X X X X Extracts X X X X X X X X Extracts X X X X
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