Trademark depreciation and section 14A adjustments: ITAT applies consistency, independent book-profit computation, and no disallowance without exempt ...
Rebuttable search presumptions and corroboration standards shaped deletion of unsubstantiated additions, while rental income and limited profit estima...
Penalty for failure to obtain an audit report was deleted because the assessee had consistently treated sale of shops as giving rise to capital gains, and the characterisation of the activity as business or investment was a debatable issue. The Tribunal found that the transactions were identical to those in the preceding year, when penalty had already been cancelled, and there was no distinguishing feature to justify a different view. On these facts, the assessee's bona fide belief that audit was not required constituted reasonable cause under section 273B, so penalty under section 271B could not be sustained.
Penalty for failure to obtain an audit report was deleted because the assessee had consistently treated sale of shops as giving rise to capital gains, and the characterisation of the activity as business or investment was a debatable issue. The Tribunal found that the transactions were identical to those in the preceding year, when penalty had already been cancelled, and there was no distinguishing feature to justify a different view. On these facts, the assessee's bona fide belief that audit was not required constituted reasonable cause under section 273B, so penalty under section 271B could not be sustained.
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