https://www.taxtmi.com/caselaws?id=797237 Penalty for concealment or furnishing inaccurate particulars is not automatically attracted by disallowance of deduction or depreciation claims. Assessment and penalty proceedings are distinct, and the rebuttable presumption under Explanation 1 to section 271(1)(c) does not establish concealment merely because an addition is made. Where relevant particulars are disclosed and the taxpayer provides a plausible, bona fide explanation for the claims, penalty is not leviable. The deletion of penalty was upheld, particularly as the underlying quantum additions were not sustained. en-us Wed, 05 Aug 2026 00:00:00 +0530 Wed, 19 Aug 2026 08:20:13 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=797237 Penalty for concealment or furnishing inaccurate particulars is not automatically attracted by disallowance of deduction or depreciation claims. Assessment and penalty proceedings are distinct, and the rebuttable presumption under Explanation 1 to section 271(1)(c) does not establish concealment merely because an addition is made. Where relevant particulars are disclosed and the taxpayer provides a plausible, bona fide explanation for the claims, penalty is not leviable. The deletion of penalty was upheld, particularly as the underlying quantum additions were not sustained. Case-Laws Income Tax Wed, 05 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=797237