10 September 2009
In the returned income of Rs. 156460 AO has made additions on account of disallownce of interest Rs. 1742, addition for under valuation of stock Rs. 9438 and addition on a/c of disallowance of exp. for personal use Rs. 5387. Hence the assessed income is at Rs. 173030. Further Rs. 350000/- has been added for agricultural income for rate purpose. Please guide whether penalty u/s 271(1)(c) is imposable.
10 September 2009
271 1(c) Will leviable where concealment of income is there.
In your case Rs.9438 undervaluation of stock is concealment. and if you have already shown your agricultural income in your return then only on stock amount rs.9438 penalty under 271 (1) (c) is leviable.
10 September 2009
Continuing Srinivasulu sir,271(1)(c) will attract for furnishing inaccurate particulars of income. Here u have not furnished correct income and hence addition is warrented leading to imposition of penalty under the referred section.
CAclubindia
