https://www.taxtmi.com/caselaws?id=759877 The ITAT Mumbai ruled in favor of the assessee regarding penalty under section 271(1)(c) for disallowance under section 80(IB)(10). The tribunal held that penalty cannot be automatic for every addition/disallowance in assessment proceedings. The assessee had adopted a possible view based on financial statements, made similar claims in previous years without penalty, and acted under bonafide belief. The tribunal emphasized that making an incorrect claim in law does not constitute furnishing inaccurate particulars, thus penalty was not sustainable. en-us Thu, 03 Oct 2024 00:00:00 +0530 Wed, 09 Oct 2024 16:33:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=759877 The ITAT Mumbai ruled in favor of the assessee regarding penalty under section 271(1)(c) for disallowance under section 80(IB)(10). The tribunal held that penalty cannot be automatic for every addition/disallowance in assessment proceedings. The assessee had adopted a possible view based on financial statements, made similar claims in previous years without penalty, and acted under bonafide belief. The tribunal emphasized that making an incorrect claim in law does not constitute furnishing inaccurate particulars, thus penalty was not sustainable. Case-Laws Income Tax Thu, 03 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=759877