https://www.taxtmi.com/caselaws?id=270327 The Tribunal allowed the assessee's appeal, deleting the penalty imposed under Section 271(1)(c) of the Income Tax Act, 1961. The penalty was deemed unjustified as the quantum addition in favor of the assessee treated the payment as a business expenditure. The Tribunal concluded that since the penalty was based on inaccurate particulars of income, which were subsequently deemed as business expenditure, the penalty could not be sustained. The Tribunal emphasized that penalties cannot stand if the basis for their imposition is no longer valid. en-us Thu, 15 Oct 2015 00:00:00 +0530 Mon, 04 Jan 2016 12:58:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=270327 The Tribunal allowed the assessee's appeal, deleting the penalty imposed under Section 271(1)(c) of the Income Tax Act, 1961. The penalty was deemed unjustified as the quantum addition in favor of the assessee treated the payment as a business expenditure. The Tribunal concluded that since the penalty was based on inaccurate particulars of income, which were subsequently deemed as business expenditure, the penalty could not be sustained. The Tribunal emphasized that penalties cannot stand if the basis for their imposition is no longer valid. Case-Laws Income Tax Thu, 15 Oct 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=270327