https://www.taxtmi.com/caselaws?id=262510 The High Court clarified that the Assessing Officer must establish the ingredients for penalty under section 271(1)(c) of the Income-tax Act, emphasizing the need for forming an independent opinion before initiating penalty proceedings. Judicial precedents stressed the strict construction of the law in determining penalties for inaccurate income particulars. In a specific case, the Court ruled that an incorrect deduction by the assessee did not constitute concealment or inaccurate particulars of income. The Court also discussed the clarificatory nature of Explanation 4 to section 271 and upheld the imposition of penalties even when the assessed figure was less, favoring the Revenue in its decision. en-us Fri, 27 Feb 2015 00:00:00 +0530 Wed, 12 Aug 2015 06:53:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=262510 The High Court clarified that the Assessing Officer must establish the ingredients for penalty under section 271(1)(c) of the Income-tax Act, emphasizing the need for forming an independent opinion before initiating penalty proceedings. Judicial precedents stressed the strict construction of the law in determining penalties for inaccurate income particulars. In a specific case, the Court ruled that an incorrect deduction by the assessee did not constitute concealment or inaccurate particulars of income. The Court also discussed the clarificatory nature of Explanation 4 to section 271 and upheld the imposition of penalties even when the assessed figure was less, favoring the Revenue in its decision. Case-Laws Income Tax Fri, 27 Feb 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=262510