https://www.taxtmi.com/caselaws?id=349668 The ITAT allowed the assessee's appeal for Assessment Years 2008-09 and 2011-12, canceling penalties imposed under section 271(1)(c) of the Income Tax Act. The ITAT found the penalty misdirected, considering the first-year applicability of Rule 8D and the rational basis for disallowance. It noted the absence of concealment of income, emphasizing the debatable nature of the issue and substantial own funds exceeding interest-bearing funds. The ITAT held that penalty imposition should be judicious, leading to the cancellation of penalties based on the circumstances and lack of concealment. en-us Fri, 29 Sep 2017 00:00:00 +0530 Tue, 17 Oct 2017 13:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=349668 The ITAT allowed the assessee's appeal for Assessment Years 2008-09 and 2011-12, canceling penalties imposed under section 271(1)(c) of the Income Tax Act. The ITAT found the penalty misdirected, considering the first-year applicability of Rule 8D and the rational basis for disallowance. It noted the absence of concealment of income, emphasizing the debatable nature of the issue and substantial own funds exceeding interest-bearing funds. The ITAT held that penalty imposition should be judicious, leading to the cancellation of penalties based on the circumstances and lack of concealment. Case-Laws Income Tax Fri, 29 Sep 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=349668