Tribunal held that ,omission to strike off the relevant clause in the notice issued under section 271 r/w. section 271(1)(c) is a legal issue hence require to be admitted . The Tribunal also held that no striking of the irrelevant clause in the notice clearly brings out the diffidence on the part of AO and no clear and crystalised charge has been conveyed to the assesse under section 271(1)(c), which has to be met by it. Proceedings suffer from non-compliance with principles of natural justice. Consequently, the penalty imposed under section 271(1)(c) is deleted. (AY. 1997-98, 1999-2000, 2004-05)
Autoriders India (P) Ltd. v. ACIT (2018) 191 TTJ 376/161 DTR 217 (Mum.)(Trib.)
S. 271(1)(c) : Penalty – Concealment – Additional ground – Omission to strike off the relevant clause in the notice issued under section 271 r/w. section 271(1)(c) is a legal issue hence require to be admitted .No striking of the irrelevant clause in the notice clearly brings out the diffidence on the part of AO and no clear and crystalised charge has been conveyed to the assesse under S.271(1)(c), which has to be met by it. Proceedings suffer from non-compliance with principles of natural justice. Consequently, the penalty imposed was deleted .[ S.254(1) .