https://www.taxtmi.com/caselaws?id=753418 The ITAT Surat held that penalty under section 271(1)(c) was not sustainable due to defective notice and estimation-based addition. The notice under section 274 was issued mechanically without specifying whether penalty was for concealment of income or furnishing inaccurate particulars. The entire addition was based on estimation regarding bogus purchases without definite finding on quantum of concealment. Following Gujarat HC precedents, the Tribunal ruled that penalty under section 271(1)(c) levied on purely estimated additions is not sustainable, resulting in deletion of the penalty. en-us Wed, 29 May 2024 00:00:00 +0530 Sat, 01 Jun 2024 08:32:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=753418 The ITAT Surat held that penalty under section 271(1)(c) was not sustainable due to defective notice and estimation-based addition. The notice under section 274 was issued mechanically without specifying whether penalty was for concealment of income or furnishing inaccurate particulars. The entire addition was based on estimation regarding bogus purchases without definite finding on quantum of concealment. Following Gujarat HC precedents, the Tribunal ruled that penalty under section 271(1)(c) levied on purely estimated additions is not sustainable, resulting in deletion of the penalty. Case-Laws Income Tax Wed, 29 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=753418