ITAT Visakhapatnam Judgments — October 2018

The Tribunal held that the provisions of Section 269T were not applicable to the payments made, and consequently, penalty under Section 271E was not leviable. The CIT(A)'s order deleting the penalty was upheld in one instance.

The Tribunal held that the penalty under section 271E was not leviable as the payments were in the nature of interest, not loans or deposits. The appeal regarding the estimation of income was partly allowed.

The Tribunal upheld the CIT(A)'s order regarding the estimation of income at 11% on total sales. It also confirmed the deletion of penalty under section 271E for repayment of loan in cash to Shri S. Ramprasad, but dismissed the cross objection for penalty on Rs. 2,15,000 paid to Shri V. Prabhakar Rao.