{"id":33222,"date":"2023-03-22T09:56:10","date_gmt":"2023-03-22T04:26:10","guid":{"rendered":"https:\/\/itatonline.org\/digest\/?post_type=qa&p=33222"},"modified":"2023-03-22T09:56:10","modified_gmt":"2023-03-22T04:26:10","slug":"penalty-u-sec-271e-on-the-basis-of-noting-on-seized-papers","status":"publish","type":"qa","link":"https:\/\/itatonline.org\/digest\/qa\/penalty-u-sec-271e-on-the-basis-of-noting-on-seized-papers\/","title":{"rendered":"Penalty U\/Sec. 271E on the basis of noting on seized papers"},"content":{"rendered":"

The assessee is a company wherein in the assessment completed u\/s 143(3) of the Act for A.Y 2021-22, addition of Rs. 70,00,000\/- was made u\/s 68 of the Act on account of unaccounted cash loan repayments on the basis of noting on seize papers found during the course of search conducted in the year 2021-2022.<\/p>\n

The director of the company has accepted the above referred seize paper noting in his personal capacity.<\/p>\n

However, AO has made an addition of Rs. 70,00,000\/- as undisclosed income in the hands of assessee company and similar addition has been made on the protective basis in the hands of the director of the company.<\/p>\n

The assessee company has received notice u\/s 271E for alleged repayment of loans of Rs. 70,00,000\/-.<\/p>\n

Issues :<\/p>\n

    \n
  1. whether penalty U\/Sec. 271E can be levied on the basis of noting on seized papers found during search.?<\/li>\n
  2. Whether the action of the AO of initiating penalty proceedings u\/s 271E is justified in law even though there is no mention of such initiation in the assessment order.<\/li>\n
  3. when addition of same amount is made as undisclosed income, whether again penalty U\/Sec. 271E can be levied.<\/li>\n
  4. Can assessee take a stand , provisions of sec. 269SS and 269T are not applicable for the unrecorded transactions found during the course of search action.<\/li>\n
  5. Any other remedy available to the assessee.<\/li>\n<\/ol>\n

    pl. guide<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[33],"qa_category":[23],"qa_tag":[149,849],"class_list":["post-33222","qa","type-qa","status-publish","hentry","qa_expert-advocate-shashi-ashok-bekal","qa_category-income-tax","qa_tag-penalty","qa_tag-seized-papers"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/33222","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=33222"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=33222"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=33222"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=33222"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=33222"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}