9911796707
TMI Blog2024 (11) TMI 362X X X X Extracts X X X X X X X X Extracts X X X X ..... iction would not lead to levy of penalty u/s 271(1)(c) of the Act, when the assessee has not actually received any money over and above the sale consideration declared in the sale deed. The facts prevailing in this case are identical with the facts of the above said case. There is no finding that the assessee has actually received any money over and above the actual sale consideration declared in the sale deed. Accordingly, the impugned addition has been made on account of deeming fiction only and penalty u/s 271(1)(c) of the Act is not leviable. Penalty levied on negative cash balance found in the books of account - We notice that the assessee could not offer any explanation with regard to the cash deposited into the bank account over and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... b) Agreed addition on account of negative cash in the books. The Ld. CIT(A) confirmed the penalty and hence the assessee has filed this appeal. 3. With regard to the addition made u/s 50C of the Act, we notice that the assessee had sold a shop located in Chembur during the year under consideration. It was noticed by the AO that the stamp duty value determined by the stamp authorities was more than the value of sale consideration. Accordingly, the AO invoked the provisions of sec.50C of the Act and added the difference between the stamp duty value and sale consideration as deemed income of the assessee. The penalty was also levied on this addition and it was confirmed by the Ld.CIT(A). 4. We notice that this addition has been made by the AO ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the cash balance available in books on that date was only Rs. 27,976/-, resulting in negative cash balance of Rs. 5,72,024/- When questioned about the same, the assessee agreed to offer the above said amount as his income with a request not to levy penalty on the above said addition. However, the AO levied penalty u/s 271(1)(c) of the Act on the above said addition. The Ld.CIT(A) also confirmed the addition. 6. We notice that this addition has been made on account of negative cash balance found in the books of account. We further notice that the assessee could not offer any explanation with regard to the cash deposited into the bank account over and above the cash balance available in the books of account. The Hon'ble Supreme Court has ..... X X X X Extracts X X X X X X X X Extracts X X X X
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