VIC Enterprises Pvt. Ltd. Vs. ACIT, Circle 26(2)

Parties Involved

Facts Summary

This appeal by the assessee, VIC Enterprises Pvt. Ltd., is against the order of the Ld. CIT(A), Delhi, dated 21.8.2018 pertaining to assessment year 2014-15. The assessee has raised an issue regarding the action of the Ld. CIT (A) in confirming the action of the Ld. AO, in imposing penalty u/s 271(1)(c) of the act. The Ld. counsel for the appellant assesse has assailed the order of Ld. AO on two main counts. Firstly, that the notice u/s 271(1)(c) of the act dated 7/12/2016 issued by the Ld. AO is illegal as the Ld. AO has not struck off the stipulation as to whether the penalty notice is for concealment of income or for furnishing of inaccurate particulars of income. Secondly, that even otherwise no penalty was leviable as the addition made on account of different view or interpretation on a statute do not attract penalty.…

Legal Issues

• 1. Whether the notice u/s 271(1)(c) of the act dated 7/12/2016 issued by the Ld. AO is illegal due to the non-striking off of the stipulation.
• 2. Whether the imposition of penalty is justified given the addition was based on a different interpretation of the statute.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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