The Tribunal, allowing the assessee’s appeal, held that in the absence of any addition or disallowance made by the AO in the computation of total income, there can be no question of any penalty on the income suo motu offered by the assessee in his return of income. In view of the fact that the assessee voluntarily offer the income declared in the survey under s. 133A, in the return of income at the assessment was made without making any addition on that score, such an income cannot constitute the bedrock for the imposition of penalty under 271(1)(c). (AY. 2013-14)
Prakash Mithalal Oswal v. ITO (2022) 214 DTR 169 / 218 TTJ 398 (Pune)(Trib) Editorial: MAK Data (P) Ltd. v. CIT (2013) 358 ITR 593 (SC) distinguished.
S. 271(1)(c) : Penalty-Concealment-Disclosure of income surrendered during survey in the return-Mandate of Expln. 1 to S. 271(1)(c)-Income declared in survey cannot constitute bedrock for imposition of penalty-Penalty was deleted. [S. 133A]