2020 (8) TMI 746

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..... the entire penalty levied - HELD THAT:- CIT(A) while passing the impugned order has followed the order of Tribunal in M/s Chempure vs. ITO [ 2010 (5) TMI 678 - ITAT MUMBAI] Earthmoving Equipment Service Corporation vs. Dy.CIT [ 2017 (5) TMI 474 - ITAT MUMBAI] . In our view, it is now settled position under the law that no penalty under section 271(1)(c) is leviable on adhoc addition. Therefor .....

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..... lty levied by the Assessing Officer u/s. 271(1)(c) of the Income Tax Act, 1961? ii. The appellant prays that the order of the ld. CIT(A) on the above ground be set aside and that of the AO be restored. 2. Brief facts of the case are that the assessee is a company engaged in the business of manufacturing of industrial filters. The assessment was completed for AY 2011-12 was completed under s .....

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..... , all the evidence pertaining to the purchase bills, delivery challans and copy of ledger accounts were furnished. It was also stated that due to long gap, the assessee could not produce the vendors and aggregate for disallowance @ 12.5% out of the total purchases. The reply of assessee was not accepted by Assessing Officer. The Assessing Officer levied the penalty @ 100% of the tax sought to be e .....

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..... l Representative (DR) for the revenue and decide the appeal on the basis of submission of ld. DR and the material available on record. The ld. DR for the revenue supported the order of Assessing Officer. The ld. DR for the revenue submits that the assessee accepted the addition and no further appeal was filed before the First Appellate Authority in quantum assessment. The assessee furnished inaccu .....

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..... bmission of assessee concluded that no penalty under section 271(1)(c) can be levied on adhoc addition and deleted the entire penalty levied under section 271(1)(c). 7. We have noted that the ld. CIT(A) while passing the impugned order has followed the order of Tribunal in M/s Chempure vs. ITO (supra) Earthmoving Equipment Service Corporation vs. Dy.CIT (supra). In our view, it is now settl .....

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