- (1.) Heard learned counsel for the parties.
(2.) The following substantial questions of law has been referred to this Court by the Income Tax Appellate Tribunal, Patna Bench, Patna vide order dated 18.8.2000: (i) Whether on the facts and circumstances of case provisions of section 269SS are attracted to the amounts received from sister concern as Temporary accommodation to meet immediate requirements of the business and is levy of penalty u/s271D justified? (ii) Whether the statement made by the Hon'ble Finance Minister is a statement to be considered to interpret the provisions of law and the intention behind the enactment of law?
(3.) Learned senior counsel for the petitioner submitted that learned C.I.T.(A) has considered the facts in detail in para-2 of the order dated 29.7.1994 and held that the assessee was making sales to M/s Bebbco and received money from the said Company either by cheque or in cash. During the year under consideration, cheque receipts was amounting to rupees more than four lakhs and cash receipts was amounting to Rs.3,03,142/- against opening balance of Rs.1,97,468/- in the account of M/s Bebbco, in addition to the sales made to them and amounting to Rs. 4,42,776/-/. By making a cash payment of Rs.87,650/-, the account was squared up. This transaction was treated not to be a transaction of deposit but it was a transaction during the course of business in the opinion of the C.I.T.(A). The C.I.T.(A) has, therefore, held that in that situation, there is no violation of Section 269SS and set aside the penalty imposed by the A.O. under Sections 271E and 271D of the Income Tax Act, 1961 for the Assessment Year 1991-92.;