Commissioner Of Income Tax Ivno.121 Nungambakkam High Roadchennai 600 034 v. Mrs.ranjana Fernandesflat 4 G Block L-Operavgn Nagar Phase I Nolumburmogappair Westchennai 600 037

IN THE HIGH COURT OF JUDICATURE AT MADRASDated: 8/6/2016 C O R A MThe Honourable Mr.Justice S.ManikumarandThe Honourable Mr.Justice D.Krishnakumar Tax Case Appeal No.358 of 2016 Commissioner of Income Tax IVNo.121 Nungambakkam High RoadChennai 600 034. ...Appellant/Appellnat Vs Mrs.Ranjana FernandesFlat 4 G Block L-OperaVGN Nagar Phase I NolumburMogappair WestChennai 600 037....Respondent/Respondent Prayer:Appeal filed under section 260A of Income Tax Act 1961against the order of the Income Tax Appellate Tribunal, Madras'A' Bench dated 29/7/2015 in ITA No.2141/Mds/2014 against theOrder of the Income Tax(A)-II 121, Mahatma Gandhi Road,Nungambakkam,Chennai-34dated18/3/2014madeinITA.NO.1534/2013-14 and against the penalty order passed by the Income Tax Officer,Company ward II(1) Chennai, dated 24/11/2011 made in GIR NO./PANAAMPF2912P. (Judgment of the Court was made by S.Manikumar,J) This Appeal has been filed against the order of the IncomeTax Appellate Tribunal, Madras 'A' Bench, dated 29/7/2015. https://hcservices.ecourts.gov.in/hcservices/ 2. The substantial questions of law raised in the instantappeal are:- “1. Whether on the facts and in thecircumstances of the case, the AppellateTribunal was right in cancelling thepenalty levied under Section 271 (1) (c) onthe Short Term Capital Gains not declaredand paid by the assessee?2. Whether on the facts andcircumstances of the case, the AppellateTribunal is correct in cancelling thepenalty levied under Section 271 (1) (c)when the explanations offered by theassessee are not bona fide and deliberatefailure on the part of the assessee tooffer income?” 3. However, when the instant appeal came up for admission,inviting the attention of this Court to a Circular No.21/2015[F.No.279/Misc.142/2007-ITJ(PT.)],dated10/12/2015,Mr.T.R.Senthil Kumar, learned Senior Standing Counsel for IncomeTax Department submitted that penalty imposed is Rs.11,06,721/-,under Section 271 (1) (c) of the Income Tax Act and the ceilinglimit is covered by paragraph No.4 of the above said Circular. 4. We have perused the above said circular. 5. Placing on record the submission of the learned SeniorStanding Counsel for Income Tax, the instant appeal isdismissed, leaving the substantial questions of law open.Consequently, the connected Civil Miscellaneous Petition No.8430of 2016 is closed. -s/d-Assistant Registrar(CSIV) True Copy To Sub-Assistant Registrar 1.The Income Tax Appellate TribunalMadras Á' Bench Chennai 2.The Income Tax(A)-II121, Mahatma Gandhi Road,Nungambakkam Chennai-34 +1 cc to Mr.T.R.Senthilkumar Advocate sr.30736 Tax Case Appeal No.358 of 2016 ev(co)aa23/06/2016