Deletion of assessment addition and survival of penalty u/s 271B - penalty annulled, appeal allowed https://www.taxtmi.com/highlights?id=96145 Issue: Whether penalty under section 271B survives after deletion of the assessment addition. Reasoning: Applying the legal maxim "Sublato fundamento cadit opus," the Tribunal held that removal of the foundational assessment addition destroys the legal basis for consequential punitive measures; illegality striking at the root invalidates subsequent penalty proceedings. Outcome: Penalty under section 271B was annulled and the appeal allowed. - ITAT en-us Mon, 19 Jan 2026 07:36:44 +0530 Mon, 19 Jan 2026 07:36:44 +0530 TaxTMI RSS Generator Deletion of assessment addition and survival of penalty u/s 271B - penalty annulled, appeal allowed https://www.taxtmi.com/highlights?id=96145 Issue: Whether penalty under section 271B survives after deletion of the assessment addition. Reasoning: Applying the legal maxim "Sublato fundamento cadit opus," the Tribunal held that removal of the foundational assessment addition destroys the legal basis for consequential punitive measures; illegality striking at the root invalidates subsequent penalty proceedings. Outcome: Penalty under section 271B was annulled and the appeal allowed. - ITAT Highlights Income Tax Mon, 19 Jan 2026 07:36:44 +0530 https://www.taxtmi.com/highlights?id=96145