COMMISSIONER OF INCOME TAX Vs. MALLLINATH SHARNAYYA SWAMI

JUDGEMENT

(1.) Admit.

(2.) The issue involved in this appeal against the decision of the ITAT dated 4th April, 2008 is whether the Tribunal has set aside the penalty imposed by the Assessing Officer under Section 158BFA(2) of the Income Tax Act, 1961 for valid and justifiable reasons.

(3.) The facts in brief are that a search and seizure action was conducted on 27th August, 2002. A block return was filed declaring undisclosed income of Rs. 12.01 lakhs and tax payable was mentioned as Rs. 7.56 lakhs. No payment of tax was made. An order was passed under Section 158BC(c) determining undisclosed income of Rs. 91.23 lakhs. In appeal, the order was modified and the undisclosed income was arrived at Rs. 12,60,286/-.