https://www.taxtmi.com/caselaws?id=183233 The appeal challenged the penalty amount for A.Y. 1999-2000 but was clarified, resulting in a reduced penalty due to the deletion of depreciation penalty. The disallowed salary payments to the Managing Director, based on the Shareholders Agreement terms, were contested. The Tribunal recognized the genuine payment, approved by the government, and emphasized that disallowance of a legitimate claim does not warrant a penalty. The Tribunal held that failure to amend the Shareholders Agreement due to business necessity does not constitute inaccurate particulars or concealed income. Consequently, the penalty was deleted as it was not justified, and the assessee's appeals were allowed. en-us Fri, 07 Jan 2011 00:00:00 +0530 Thu, 02 Jun 2016 12:18:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=183233 The appeal challenged the penalty amount for A.Y. 1999-2000 but was clarified, resulting in a reduced penalty due to the deletion of depreciation penalty. The disallowed salary payments to the Managing Director, based on the Shareholders Agreement terms, were contested. The Tribunal recognized the genuine payment, approved by the government, and emphasized that disallowance of a legitimate claim does not warrant a penalty. The Tribunal held that failure to amend the Shareholders Agreement due to business necessity does not constitute inaccurate particulars or concealed income. Consequently, the penalty was deleted as it was not justified, and the assessee's appeals were allowed. Case-Laws Income Tax Fri, 07 Jan 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=183233