https://www.taxtmi.com/caselaws?id=752811 The ITAT Amritsar allowed the assessee's appeal against penalty proceedings under section 271(1)(c) read with section 274. The CIT(A) had imposed penalty solely because additional income was declared in the return filed under section 153A compared to the original return under section 139(1). The ITAT held that penalty under section 271(1)(c) with explanation (5A) can only be imposed when incriminating material is found during search under section 132 or requisition under section 132A. Since no such material was found or seized, and the assessee voluntarily disclosed additional income without any findings by revenue authorities, the penalty was unjustified and the CIT(A)'s decision was perverse. en-us Tue, 02 Jan 2024 00:00:00 +0530 Sat, 18 May 2024 06:50:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=752811 The ITAT Amritsar allowed the assessee's appeal against penalty proceedings under section 271(1)(c) read with section 274. The CIT(A) had imposed penalty solely because additional income was declared in the return filed under section 153A compared to the original return under section 139(1). The ITAT held that penalty under section 271(1)(c) with explanation (5A) can only be imposed when incriminating material is found during search under section 132 or requisition under section 132A. Since no such material was found or seized, and the assessee voluntarily disclosed additional income without any findings by revenue authorities, the penalty was unjustified and the CIT(A)'s decision was perverse. Case-Laws Income Tax Tue, 02 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=752811