https://www.taxtmi.com/caselaws?id=253113 The ITAT ruled in favor of the assessee, ordering the deletion of the penalty under section 271(1)(c) of the Income Tax Act. The decision was based on the assessee's reasonable belief in claiming deductions initially, supported by a previous court decision that was later overturned. The ITAT considered the impact of unaudited accounts and concluded that the error was not intentional, thus lacking penal mens rea. As a result, the penalty was deemed unjustified, and the appeal was allowed with the direction to delete the penalty. en-us Fri, 08 Aug 2014 00:00:00 +0530 Sat, 15 Nov 2014 15:00:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=253113 The ITAT ruled in favor of the assessee, ordering the deletion of the penalty under section 271(1)(c) of the Income Tax Act. The decision was based on the assessee's reasonable belief in claiming deductions initially, supported by a previous court decision that was later overturned. The ITAT considered the impact of unaudited accounts and concluded that the error was not intentional, thus lacking penal mens rea. As a result, the penalty was deemed unjustified, and the appeal was allowed with the direction to delete the penalty. Case-Laws Income Tax Fri, 08 Aug 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=253113