https://www.taxtmi.com/caselaws?id=761173 ITAT Visakhapatnam dismissed revenue's appeal regarding penalty under section 274 read with 270A. The assessee, having spent over 85% of revenue collected, had nil taxable income despite depreciation disallowance. AO contradicted himself by levying penalty on notional tax while accepting nil income in assessment. CIT(A) correctly deleted penalty as no tax was payable on under-reported income. ITAT also quashed CIT(E)'s section 263 revision order directing AO to disallow depreciation, finding no merit since AO had already made the disallowance during assessment. en-us Thu, 24 Oct 2024 00:00:00 +0530 Wed, 06 Nov 2024 08:34:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=761173 ITAT Visakhapatnam dismissed revenue's appeal regarding penalty under section 274 read with 270A. The assessee, having spent over 85% of revenue collected, had nil taxable income despite depreciation disallowance. AO contradicted himself by levying penalty on notional tax while accepting nil income in assessment. CIT(A) correctly deleted penalty as no tax was payable on under-reported income. ITAT also quashed CIT(E)'s section 263 revision order directing AO to disallow depreciation, finding no merit since AO had already made the disallowance during assessment. Case-Laws Income Tax Thu, 24 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=761173