“deletion of penalty”
The decision most relied on for deletion of penalty is Akhil Bhartiya Prathmik Shikshak Sangh Bhawan Trust v. ADIT (115 TTJ 419), cited in 292 judgments on BharatTax.
Leading authorities on deletion of penalty
Penalty under Section 272A(1)(d) for non-compliance with a notice issued under Section 142(1) is not leviable when the assessee demonstrates a reasonable cause for such non-compliance. The decision defines what constitutes 'reasonable cause' in this context.
A penalty levied under Section 271(1)(c) for concealment of income or furnishing inaccurate particulars cannot be deleted merely due to technical defects in the penalty notice, such as not ticking the specific default, if the assessee understood the charges.
When the addition made in the assessment order, on the basis of which a penalty for concealment under section 271(1)(c) is levied, is subsequently deleted, the penalty has no basis and must be cancelled.
Penalty under Section 271(1)(c) of the Income Tax Act cannot be levied when an addition to income is based purely on an estimate, without concrete evidence proving concealment of income or furnishing of inaccurate particulars.
No penalty under section 271(1)(c) of the Income Tax Act is leviable when an addition to income is made purely on an estimation basis, absent concrete evidence of concealment or furnishing inaccurate particulars.
Penalty under section 271(1)(c) of the Income-tax Act is not leviable when an addition to income is made purely on an estimated basis, without any concrete evidence of concealment or furnishing of inaccurate particulars.
A penalty under Section 271B for failure to get accounts audited cannot be levied if a penalty under Section 271A has already been imposed for non-maintenance of books of account.
Transactions involving the receipt or repayment of loans or deposits solely through journal entries, without actual cash movement, contravene Sections 269SS and 269T. However, penalties under Sections 271D or 271E for such contraventions are not imposable if the assessee demonstrates a reasonable cause under Section 273B, particularly when no cash has passed between parties.
