Held, allowing the appeal, the Tribunal held that the assessment order under section\u00a0143(3)\u00a0of the Act was passed on November 5, 2003. The Additional Commissioner on November 15, 2003 issued notice under section\u00a0274\u00a0read with section\u00a0271D\u00a0of the Act stating that the assessee had violated the provisions of section\u00a0269SS\u00a0of the Act. Therefore, the action for imposition of penalty were initiated on this date. According to section\u00a0275(1)(c)\u00a0of the Act, the penalty orders should have been passed on or before June 30, 2004, but they were passed on July 30, 2004. However, on January 16, 2004, the Additional Commissioner again issued notice under section\u00a0274\u00a0read with section\u00a0271D\u00a0of the Act. The first notice and the second notice were identical. Therefore, the penalty order should have been passed on or before June 30, 2004 reckoned from November 15, 2003, but having been passed on July 30, 2004, both orders of the penalty were barred by limitation. The subsequent notice could not be taken for computing the time limit. Followed\u00a0 PCIT v. JKD Capital and Finlease Ltd (2015) 378 ITR 614 (Delhi)(HC).(AY.2000-01)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 271D : Penalty-Takes or accepts any loan or deposit-Limitation–Action for imposition of penalty initiated by notice-Time for passing of penalty order to be reckoned from that date of initiation-Order is barred by limitation. [S. 271E, 275(1)(c)] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-37359","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-9Iz","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/37359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=37359"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/37359\/revisions"}],"predecessor-version":[{"id":37360,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/37359\/revisions\/37360"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=37359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=37359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=37359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}