The ITAT upheld the deletion of penalty under section 271(1)(c)...

The ITAT upheld the deletion of penalty under section 271(1)(c) in respect of disallowance of selling and distribution expenses, relying on precedent where similar additions were deleted, recognizing the issue as debatable with conflicting views. Penalty under section 271(1)(c) was also deleted for disallowance under section 14A due to lack of evidence of furnishing inaccurate particulars. Regarding repairing expenses, the Tribunal held that mere rejection of expenditure claims by the AO does not attract penalty, as the assessee furnished complete details without concealment. Penalty on provisions for doubtful debts under section 115JB was deleted, noting that payment of MAT does not preclude penalty imposition but was not warranted here. The validity of penalty proceedings was upheld as the AO recorded proper satisfaction for initiation. Lastly, penalty on book profit additions from partnership remuneration was negated, as such receipts are not income under section 2(24) and thus not taxable under section 115JB.