https://www.taxtmi.com/caselaws?id=759659 The ITAT Mumbai-AT allowed the assessee's appeal against penalty levied under section 271(1)(c). The assessee, engaged in agricultural land acquisition and development, claimed land development expenses from 1995-2005 without supporting bills and vouchers. The AO made additions while CIT(A) granted 25% relief. The ITAT held penalty cannot be automatic following assessment additions, particularly for adhoc disallowances in unorganized markets dealing with farmers. The tribunal found the assessee acted under bonafide belief and complied with penalty proceedings, concluding penalty was unsustainable. en-us Thu, 03 Oct 2024 00:00:00 +0530 Sat, 05 Oct 2024 08:54:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=759659 The ITAT Mumbai-AT allowed the assessee's appeal against penalty levied under section 271(1)(c). The assessee, engaged in agricultural land acquisition and development, claimed land development expenses from 1995-2005 without supporting bills and vouchers. The AO made additions while CIT(A) granted 25% relief. The ITAT held penalty cannot be automatic following assessment additions, particularly for adhoc disallowances in unorganized markets dealing with farmers. The tribunal found the assessee acted under bonafide belief and complied with penalty proceedings, concluding penalty was unsustainable. Case-Laws Income Tax Thu, 03 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=759659