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Facts
The assessee failed to furnish a return of income for AY 2016-17 in response to a notice under Section 148 dated 20.03.2020. Subsequently, a penalty of Rs. 10,000 was levied under Section 271(1)(b) of the Income Tax Act, 1961, for non-compliance.
Held
The Tribunal held that the period for compliance, falling within the initial phase of the COVID-19 pandemic and national lockdown, made it impossible for the assessee to comply with the notices. Therefore, the penalty was deleted.
Key Issues
Whether the penalty imposed under Section 271(1)(b) for non-compliance during the COVID-19 pandemic is justified.
Sections Cited
253, 271(1)(b), 250, 148, 246A, 142, 147, 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, INDORE BENCH, INDORE
Before: DR. MANISH BORAD & SHRI PARESH M JOSHI
In the result “Impugned Order” is set aside and penalty at Rs.10,000/- u/s 271(1)(b) upheld in the impugned order is deleted.
Order pronounced by putting on notice board in terms of Rule 34 of ITAT, Rules, 1963, on 30.10.2025.