RAMESH CHANDER GUPTA Vs. INCOME TAX APPELLATE TRIBUNAL

JUDGEMENT

(1.) This appeal under section 260A of the Income-tax Act, 1961 (for short "the Act"), has been filed by the assessee against the order dated 31-8-2004, passed by the Income-tax Appellate Tribunal, Amritsar Bench, Amritsar, (SMC) (in short "the Tribunal"), in I.T.A. No. 332/ASR/1999 relating to the assessment year 1995-96. The point for consideration in this appeal is, whether the Tribunal was justified in sustaining the penalty under section 271(1)(c) of the Act on the ground that there had been concealment of income by the assessee?

(2.) Briefly stated the facts of the case as narrated in the appeal are that on 5-8-1994, a survey was carried out under section 133A of the Act at the business premises of the assessee-appellant. The surveying authority found the stock of first and second class bricks in excess to the tune of 28750 and 45280 respectively whereas the third class tiles were found short to the extent of 63400. The Income-tax Officer, on the basis of the above, vide order dated 24-11-1997, made addition of Rs. 44,380 on account of shortage in stock of third class tiles and Rs. 44,383 were added on account of excess stock of bricks of first and second classes.

(3.) The appeal of the assessee against the order of the Income-tax Officer was dismissed by the Commissioner of Income-tax (Appeals) (in short "the CIT(A)"), vide order dated 1-7-1998. Even the application moved by the assessee for rectification of the order dated 1-7-1998, was also dismissed.