Commissioner Of Income Tax v. M/S.mutha Founders Pvt. Ltd

IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.444 OF 2005. Commissioner of Income Tax.... .......Appellant. V/sM/s.Mutha Founders Pvt. Ltd. .................Respondent. Mr.Vimal Gupta, Adv. For the appellant CORAM:SWATANTER KUMAR, C.J. &A.P.DESHPANDE, J.DATED: 12[th ]AUGUST 2008. PC: The present appeal is directed against the order dated30.7.2004 passed by the Income Tax Appellate Tribunal. Accordingto the learned counsel appearing for the appellant substantialquestion of law arises for consideration of the Court in the presentappeal : “as to whether in the facts and circumstances of the caseTribunal was justified in annulling penalty imposed undersection 271(1)(c) of the Income Tax Act as inaccurateparticulars have been furnished by the assessee? The Tribunal while noticing the fact that the assessee had made its claim for deduction of Rs.6,42,512/- u/s.80HHA in the originalreturn but later on the assessee revised the same making its claim ofdeduction of Rs.2,14,170/- u/s.80HHA in respect of Unit No.I. Thetotal investment in plant and machinery in that unit wasRs.38,33,978/-. In the notification in force at the relevant time limitof investment in plant and machinery had been Rs.60 lacs regardingan industrial undertaking as small scale unit. Having thus noticedthis fact it recorded finding of fact that no fault can be found with theassessee for having promptly claimed deduction u/s.80HHA and forfurnishing inaccurate particulars intentionally. On the contrary beinga separate and independent unit it was bonafide belief of the assesseewith regard to Unit No.II. This being finding of the fact, in ouropinion no question of law, muchless a substantial question of lawarises for our consideration. Hence appeal is dismissed. CHIEF JUSTICE A.P.DESHPANDE, J.