https://www.taxtmi.com/caselaws?id=771223 The ITAT Agra held that penalty under section 270A for underreporting of income was not sustainable where the AO estimated income by applying net profit rate without rejecting the assessee's books of accounts. The tribunal found this case fell under the exception in section 270A(6)(b) since the AO was satisfied with the books. The AO failed to specify which provision justified the penalty levy. Additionally, penalty under section 272A(1)(d) for non-compliance with section 142(1) notice was deleted as the default was neither intentional nor deliberate, and the assessee subsequently participated in proceedings. Both penalties were directed to be deleted. en-us Mon, 19 May 2025 00:00:00 +0530 Thu, 22 May 2025 08:21:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771223 The ITAT Agra held that penalty under section 270A for underreporting of income was not sustainable where the AO estimated income by applying net profit rate without rejecting the assessee's books of accounts. The tribunal found this case fell under the exception in section 270A(6)(b) since the AO was satisfied with the books. The AO failed to specify which provision justified the penalty levy. Additionally, penalty under section 272A(1)(d) for non-compliance with section 142(1) notice was deleted as the default was neither intentional nor deliberate, and the assessee subsequently participated in proceedings. Both penalties were directed to be deleted. Case-Laws Income Tax Mon, 19 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771223