https://www.taxtmi.com/caselaws?id=331475 The ITAT dismissed the penalty order imposed under section 271(1)(c) by the Assessing Officer, which was upheld by the Commissioner of Income-tax (Appeals). The ITAT found that since the additions forming the basis of the penalty had been deleted in previous proceedings, the penalty became infructuous. Citing the decision in K. C. Builders v. Asst. CIT [2004] 265 ITR 562 (SC), the ITAT held that when the additions are deleted, the penalty cannot be sustained. The ITAT ultimately allowed the appeal of the assessee, emphasizing the importance of legal principles and precedents in such cases. en-us Thu, 19 May 2016 00:00:00 +0530 Wed, 24 Aug 2016 11:01:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=331475 The ITAT dismissed the penalty order imposed under section 271(1)(c) by the Assessing Officer, which was upheld by the Commissioner of Income-tax (Appeals). The ITAT found that since the additions forming the basis of the penalty had been deleted in previous proceedings, the penalty became infructuous. Citing the decision in K. C. Builders v. Asst. CIT [2004] 265 ITR 562 (SC), the ITAT held that when the additions are deleted, the penalty cannot be sustained. The ITAT ultimately allowed the appeal of the assessee, emphasizing the importance of legal principles and precedents in such cases. Case-Laws Income Tax Thu, 19 May 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=331475