Assessee filed ROI after notice u/s. 153A disclosing STCG which was the same as filed previously u/s 139(1). The AO scaled down cost of acquisition and initiated penalty proceedings u/s 271(1)(c). In Appeal, held that nowhere had the AO made reference to any seized material thus the assumption that there as concealed income was misplaced. If in response to a notice under section 153A the assessee furnishes a return disclosing higher income, it could be considered as concealed income only if some incriminating material representing that higher income was found during the course of search. Therefore the penalty was to be deleted. Nothing had been pointed out on how the reduced cost of acquisition had been determined. No incriminating material was found during the course of search. The assessee had returned the same income as was filed under section 139(1). The Assessing Officer had imposed penalty for concealing particulars of income but there was no such concealment. Only difference was in computation of cost of acquisition. Thus, Assessee did not deserve penalty for this year. (ITA Nos. 1562 and 1563/Ahd/2017 AY.2008-09, 2010-11)