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Judgment
The present appeal has been filed by the Department under s. 260A of the IT Act, 1961, against the judgment and order dt. 27th Jan., 2005, passed by the Tribunal, Lucknow, in ITA No. 493/All/1999, for the asst. yr. 1994-95. The brief facts of the case are that in the instant case, the AO found that there was violation of s. 269SS/269T of the Act. So, he levied the penalties under ss. 271D and 271E of the Act. The same were cancelled by the CIT(A) and the Tribunal also upheld the same. Being aggrieved, the Department has filed the present appeal.
With this background, heard Sri Dhananjay Awasthi, learned counsel for the Department and Sri Ashish Bansal, learned counsel for the assessee.
After hearing both the parties and on perusal of the record, it appears that in the instant case, the transaction in question was not cash transaction. It was merely book entries. The CIT(A) has called remand record from the AO, who vide report dt. 5th Jan., 1999, confirmed that the transaction in question, by mentioning that no cash was involved. There was only adjustment entries.
When that it so, then there is no violation of s. 269SS/269T of the Act. No addition is made in quantum appeal. By considering the totality of the facts and circumstances of the case, we find no reason to interfere with the impugned order passed by the Tribunal. The same is hereby sustained along with the reasons mentioned therein.
In the result, the appeal filed by the Department is dismissed, at the admission stage.