https://www.taxtmi.com/caselaws?id=375745 The Tribunal upheld the deletion of a penalty of Rs. 31,99,806 under section 271(1)(c) of the Income Tax Act for the assessment year 2004-05. The penalty was imposed during reassessment but was later deleted by the CIT(A) based on the assessee's explanation and legal precedents. The Tribunal agreed that since both the original and reassessment resulted in nil income under Minimum Alternate Tax provisions, the penalty was not justified. Reference to a CBDT circular supported the decision, emphasizing that penalties depend on adjustments made for MAT purposes. The revenue's appeal was dismissed, clarifying the penalty application under the Act. en-us Thu, 21 Feb 2019 00:00:00 +0530 Mon, 25 Feb 2019 05:26:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=375745 The Tribunal upheld the deletion of a penalty of Rs. 31,99,806 under section 271(1)(c) of the Income Tax Act for the assessment year 2004-05. The penalty was imposed during reassessment but was later deleted by the CIT(A) based on the assessee's explanation and legal precedents. The Tribunal agreed that since both the original and reassessment resulted in nil income under Minimum Alternate Tax provisions, the penalty was not justified. Reference to a CBDT circular supported the decision, emphasizing that penalties depend on adjustments made for MAT purposes. The revenue's appeal was dismissed, clarifying the penalty application under the Act. Case-Laws Income Tax Thu, 21 Feb 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=375745