https://www.taxtmi.com/caselaws?id=408015 The appeal before ITAT Mumbai involved the levy of a penalty under section 271(1)(c) of the Income Tax Act, 1961 due to the withdrawal of a deduction claim. The Tribunal ruled in favor of the assessee, directing the deletion of the penalty of Rs. 22,71,150. It was held that the assessee's withdrawal of the claim was done in good faith to avoid disputes, and the Explanation to section 35(1)(ii) supported the assessee's position. Citing a similar precedent, the Tribunal found no justification for upholding the penalty and ordered its deletion. en-us Wed, 21 Apr 2021 00:00:00 +0530 Sat, 29 May 2021 14:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=408015 The appeal before ITAT Mumbai involved the levy of a penalty under section 271(1)(c) of the Income Tax Act, 1961 due to the withdrawal of a deduction claim. The Tribunal ruled in favor of the assessee, directing the deletion of the penalty of Rs. 22,71,150. It was held that the assessee's withdrawal of the claim was done in good faith to avoid disputes, and the Explanation to section 35(1)(ii) supported the assessee's position. Citing a similar precedent, the Tribunal found no justification for upholding the penalty and ordered its deletion. Case-Laws Income Tax Wed, 21 Apr 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=408015