https://www.taxtmi.com/caselaws?id=792010 Penalty under section 271D cannot survive once the quantum additions forming its foundation have been quashed. The Tribunal noted that the underlying assessment had already been set aside in the assessee's case, so the primary basis for the penalty ceased to exist. Where the foundational additions are annulled, the satisfaction and material supporting penalty proceedings linked to those additions also fall away. On that reasoning, the deletion of the penalty was upheld and the Revenue's challenge failed. en-us Tue, 19 May 2026 00:00:00 +0530 Thu, 21 May 2026 08:30:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=792010 Penalty under section 271D cannot survive once the quantum additions forming its foundation have been quashed. The Tribunal noted that the underlying assessment had already been set aside in the assessee's case, so the primary basis for the penalty ceased to exist. Where the foundational additions are annulled, the satisfaction and material supporting penalty proceedings linked to those additions also fall away. On that reasoning, the deletion of the penalty was upheld and the Revenue's challenge failed. Case-Laws Income Tax Tue, 19 May 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=792010