Penalty u/s 271(1)(b) - Default by assessee - Held that - There is no dispute to the fact that the notices issued by the AO to the assessee u/s 142(1)/143(2) were received by assessee and the assessee repeatedly avoided the compliance thereof - on behalf of the assessee adjournment application was filed, but the AO indicated to the concern persons who filed the adjournment application, to file authority letter - it is not one occasion, but there are three occasions, no authority letter was filed by concern person who sought adjournments in respect of which the AO indicated to file the authority letter - there is deliberate defiance on the part of the assessee to comply with the statutory notices and to furnish requisite details. The contention of the assessee before the authorities below that there is no mens rea on the part of the assessee, we agree with the ld. CIT(A) that there is nothing in section 271(1)(b) of the Act which requires that mens rea must be proved before the penalty can be levied. Hence, mens rea is not an essential element for imposing penalty for non compliance of notices issued by AO. Considering the repetitive failure and the lackadaisical approach of the assessee, we hold that ld. CIT(A) has rightly held that it cannot be said to be a reasonable cause for failure to comply with the notices issued by AO u/s 143(2)/142(1) of the Act - It cannot be said that if no fine is levied on account of committing the offence by one person, the other person should also not be fined for committing the same offence - Penalty confirmed - Decided against assessee............................... Income Tax - Case Law
↧