Allahabad Court April 2014 Judgments

Commissioner of Income-tax Vs. Jindal Polyester and Steel Ltd.

Court: Allahabad

1. Heard Sri Shambhu Chopra learned senior standing counsel of the Income-tax Department and Sri Rupesh Jain appearing on behalf of the respondent. 2. The following questions have been raised in the present appeal. "(1) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is legally justified in cancelling the penalty levied under section 271(1)(c) of the Income-tax Act irrespective of the fact that the assessee claimed excess depreciation to the tune of Rs. 1,42,30,221 than what was admissible to him as per the provisions of the Income-tax Act ? (2) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is legally justified in cancelling the penalty levied under section 271(1)(c) in spite of the fact that the assessee did not furnish any explanation either before the Assessing Officer or before the Commissioner of Income-tax (Appeals) for claiming excess depreciation than admissible under the Income-tax Ac...