https://www.taxtmi.com/caselaws?id=430868 Penalty under section 271(1)(c) was held not sustainable where the capital gains addition arose only from substitution of the stated sale consideration under section 50C and valuation under section 50C(2). The reasoning was that section 50C operates through a statutory deeming fiction, and an enhancement made through that mechanism does not by itself establish concealment or furnishing of inaccurate particulars. The analysis followed the view that penalty is not automatic merely because an addition results from deeming valuation provisions; independent material showing deliberate inaccuracy is required. On these facts, the penalty order was quashed and the assessee obtained full relief. en-us Wed, 23 Nov 2022 00:00:00 +0530 Tue, 29 Nov 2022 14:10:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=430868 Penalty under section 271(1)(c) was held not sustainable where the capital gains addition arose only from substitution of the stated sale consideration under section 50C and valuation under section 50C(2). The reasoning was that section 50C operates through a statutory deeming fiction, and an enhancement made through that mechanism does not by itself establish concealment or furnishing of inaccurate particulars. The analysis followed the view that penalty is not automatic merely because an addition results from deeming valuation provisions; independent material showing deliberate inaccuracy is required. On these facts, the penalty order was quashed and the assessee obtained full relief. Case-Laws Income Tax Wed, 23 Nov 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=430868