2021 (4) TMI 1090

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..... he Revenue is directed against the order passed by the CIT(A)-2, Aurangabad on 13-04-2017 deleting penalty of Rs. 2,26,23,440 imposed by the Assessing Officer under section 271(1)(c) of the Income-tax Act, 1961 (hereinafter also called `the Act‟) in relation to the assessment year 2013-14. 2. Briefly stated, the facts of the case are that the assessee is an individual engaged in the busines .....

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..... amounts on the basis of admission by the assessee. Subsequently, penalty was imposed u/s 271(1)(c) of the Act after issuing notice u/s 274 of the Act. The ld. CIT(A) observed that the notice issued by the AO u/s 274 contained both the limbs viz., concealment of income and furnishing of inaccurate particulars of income and none of the two was struck off, as against the penalty order having been pas .....

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..... issue. Answering the question in affirmative, the Full Bench held that a defect in notice of not striking the relevant words vitiates the penalty even though the AO had properly recorded the satisfaction for imposition of penalty in the order u/s 143(3) of the Act. In another judgment, the Hon‟ble Bombay High Court in Pr.CIT Vs. Golden Peace Hotels and Resorts (P.) Ltd. (2021) 124 taxmann.c .....

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