2008 (12) TMI 25

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..... der of the Assessing Authority – Tribunal rightly followed the decision in the case of CIT v. Rampur Engineering Co. Ltd which has already been considered by the Full Bench - order of tribunal was justified - 751/2006, 752/2006 - - - Dated:- 4-12-2008 - HON'BLE MR JUSTICE BADAR DURREZ AHMED and HON'BLE MR JUSTICE RAJIV SHAKDHER Mr Sanjeev Sabharwal for the Appellant. Mr. V.P. Gupta and .....

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..... cial (supra) in so far as the period prior to 01.04.1989 is concerned, has been confirmed. With regard to the period post 01.04.1989, the Finance Act, 2008 has introduced sub-section 1B in Section 271. The said provision reads as under:- "where any amount is added or disallowed in computing the total income or loss of an assessee in any order of assessment or reassessment and the said order cont .....

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..... als, there is no such direction for initiation of penalty proceedings. Consequently the deeming provision does not get triggered. The result is that the penalty orders cannot be sustained in the absence of any satisfaction of the Assessing Officer with regard to penalty in the course of the assessment proceedings. Thus, although the Tribunal adopted a different reasoning, since the conclusion is t .....

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