Dismissing the appeal and allowing the cross-objections,  the Tribunal held  that the ground raised in the cross-objections being a legal ground could be raised by the assessee before the Tribunal for the first time. In the circumstances of the case, the delay in filing the cross-objections was to be condoned. Relied on National Thermal Power co. Ltd. v. CIT (1998) 229 ITR 383 (SC) . The Tribunal also held that  the show-cause notice issued under section 274 of the Act did not specify whether the charge against the assessee was for concealing particulars of income or furnishing inaccurate particulars of income. The Assessing Officer had not struck out the inappropriate words in the show-cause notice under section 274 of the Act. In these circumstances, the imposition of penalty could not be sustained .(AY.2005-06 to 2007-08)