https://www.taxtmi.com/caselaws?id=286405 Penalty under section 271(1)(c) cannot survive where the underlying quantum addition has already been deleted. The note explains that the penalty was based on the view that profit from early termination of a forward foreign exchange contract was taxable as income from other sources, but the quantum appeal had already held the gain to be capital in nature and deleted the addition. Once that foundation disappeared, there was no basis to sustain the penalty, and it was unnecessary to examine whether the claim was bona fide or the issue debatable. en-us Thu, 18 Jul 2013 00:00:00 +0530 Mon, 24 Feb 2020 18:14:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=286405 Penalty under section 271(1)(c) cannot survive where the underlying quantum addition has already been deleted. The note explains that the penalty was based on the view that profit from early termination of a forward foreign exchange contract was taxable as income from other sources, but the quantum appeal had already held the gain to be capital in nature and deleted the addition. Once that foundation disappeared, there was no basis to sustain the penalty, and it was unnecessary to examine whether the claim was bona fide or the issue debatable. Case-Laws Income Tax Thu, 18 Jul 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=286405