Taking into account the amount mentioned in Form 26AS it could not be said that the assessee had concealed amount or furnished inaccurate particulars of income. However, penalty was restricted to the tax sought to be evaded on the amount of commission income not disclosed by assessee.

Assessee assailed the penalty under section 271(1)(c) imposed by AO on account of discrepancy between Form 26AS and Form 16 and concealment of commission income. Assessee contended that notice of penalty did not strike off inappropriate portion.

It is held that taking into account the amount mentioned in Form 26AS, it could not be said that the assessee had concealed amount or furnished inaccurate particulars of income. With regard to commission income, assessee had not disclosed the same in his return of income and also not offered any explanation. Therefore, penalty was restricted to the tax sought to be evaded on the amount of commission.

Decision: Partly in assessee’s favour