Meaning of tax terms
Meaning of “Has concealed the particulars of income or furnished inaccurate particulars of income”
The meaning of has concealed the particulars of income or furnished inaccurate particulars of income under section 271 of the Income Tax Act is not defined in the act itself. But we can take guidance from decisions by various high courts. Here are excerpts of courts orders in which the Hon’ble High Court tried to explain the meaning of has concealed the particulars of income or furnished inaccurate particulars of income.
Meaning of has concealed the particulars of income or furnished inaccurate particulars of income
The phrase “has concealed the particulars of income or furnished inaccurate particulars of income” used in section 24 of the Income Tax Act came up before various high courts as detailed under :
1. Hon’ble Orissa high court explained the meaning of “has concealed the particulars of income or furnished inaccurate particulars of income ” while delivering judgment in CIT Vs. Indian Metals & Ferro Alloys Ltd. [1994] 117 CTR (ori.) 378 as under :
Meaning: The expression ‘has concealed the particulars of income’ and ‘has furnished inaccurate particulars of income’ have not been defined either in section 271(1)(c) or elsewhere in the act. One thing is certain that these two circumstances are not identical in details although they may lead to the same effect; namely, keeping off a certain portion of income. The former is direct and the later may be indirect in its execution. The word ‘conceal’ is derived from the latin ‘concelare’ which implies to hide. Webster in his new international dictionary equates its meaning ‘to hide or withdraw from observation; to cover or keep from sight; to prevent the discovery of; to withhold knowledge of’.
Case Name : Cit Vs. K.S.D. Pandurangan
Citation : [1996] 218 itr 8 (mad.)
Court : Madras high court
Section : 271
Meaning: The expressions ‘material facts’ in clause (a) of section 147 for reopening and ‘concealed the particulars of his income or furnished inaccurate particulars of such income’ in section 271(1)(c), are different.
