https://www.taxtmi.com/caselaws?id=465215 The ITAT Delhi allowed the assessee's appeal and deleted penalty imposed u/s 271(1)(c) arising from disallowance u/s 14A. It held that mere disallowance of expenditure relating to exempt income, particularly on a debatable and method-based issue like s.14A, does not ipso facto amount to concealment of income or furnishing inaccurate particulars. As AO, CIT(A) and ITAT itself had differed on the quantum and manner of disallowance and no specific expenditure was shown to be directly linked to exempt income, the statutory conditions for levy of penalty were not satisfied. en-us Wed, 02 Jul 2014 00:00:00 +0530 Thu, 11 Dec 2025 13:38:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=465215 The ITAT Delhi allowed the assessee's appeal and deleted penalty imposed u/s 271(1)(c) arising from disallowance u/s 14A. It held that mere disallowance of expenditure relating to exempt income, particularly on a debatable and method-based issue like s.14A, does not ipso facto amount to concealment of income or furnishing inaccurate particulars. As AO, CIT(A) and ITAT itself had differed on the quantum and manner of disallowance and no specific expenditure was shown to be directly linked to exempt income, the statutory conditions for levy of penalty were not satisfied. Case-Laws Income Tax Wed, 02 Jul 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=465215