https://www.taxtmi.com/caselaws?id=268644 The Supreme Court held that penalty proceedings under Section 271E of the Income Tax Act are dependent on the validity of the assessment order. If the original assessment order is set aside, any penalty based on it cannot be sustained, as the necessary satisfaction for initiating penalty proceedings would no longer be valid. In this case, as the fresh assessment order did not record satisfaction for the penalty, the Court dismissed the appeals, ruling that the penalty under Section 271E could not be imposed. en-us Fri, 20 Nov 2015 00:00:00 +0530 Tue, 12 May 2026 15:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=268644 The Supreme Court held that penalty proceedings under Section 271E of the Income Tax Act are dependent on the validity of the assessment order. If the original assessment order is set aside, any penalty based on it cannot be sustained, as the necessary satisfaction for initiating penalty proceedings would no longer be valid. In this case, as the fresh assessment order did not record satisfaction for the penalty, the Court dismissed the appeals, ruling that the penalty under Section 271E could not be imposed. Case-Laws Income Tax Fri, 20 Nov 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=268644