Section 271(1)(c)-AYs 1983-84 to 1986-87-Concealment of income--Prosecution for-Imposition of penalty-Assessee engaged in the business of construction and sale of flats submitted original returns-Subsequently, assessee submittted revised returns based on approved valuer's report-Assessing authority treated difference in income between original and revised returns as concealed income and levied penalty-Thereafter, complaints against assessee were filed before Magistrate-ITAT held that there was no concealment of income and cancelled the penalty-Assessing authority gave effect to ITAT's order-ITAT's order not challenged and became final-Held: Under such circumstances, prosecution could not be sustained.

Section 271(1)(c)(iii)-Penalty-Levy of-AYs 1983-84 to 1986-87-Prosecution and penalty-Interrelation between-Assessing authority levied penalty on the assessee for concealment of income and launched prosecution-But ITAT held that there was no concealment of income and cancelled the penalty-Held: Levy of penalty and prosecution simultaneous-Once penalty was cancelled quashing of prosecution under S. 276- C is automatic-Moreover, ITAT's order superseded that of assessing officer and the entire prosecution became devoid of jurisdiction-It would be an idle and empty formality to require the assessee to exhibit the ITAT's order as a defence document.