https://www.taxtmi.com/highlights?id=105602 Section 270A distinguishes ordinary under-reporting from under-reporting resulting from misreporting; a notice expressly alleging the latter need not identify a further sub-category. Claiming the full SEZ export-profit deduction where only half is eligible, coupled with inconsistent Forms 56F and correction only after scrutiny, can negate a bona fide explanation and constitute misreporting. Under-reporting under normal provisions is assessed by comparing assessed income with income processed on the return, so unchanged deemed income under section 115JC does not eliminate penalty exposure. Processing under section 143(1)(a) remains mandatory under the amended regime despite a scrutiny notice. Penalty may apply despite no revenue loss or demonstrated intent to evade tax, with required faceless approval. en-us Fri, 30 Oct 2026 09:42:12 +0530 Fri, 30 Oct 2026 09:42:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=105602 Section 270A distinguishes ordinary under-reporting from under-reporting resulting from misreporting; a notice expressly alleging the latter need not identify a further sub-category. Claiming the full SEZ export-profit deduction where only half is eligible, coupled with inconsistent Forms 56F and correction only after scrutiny, can negate a bona fide explanation and constitute misreporting. Under-reporting under normal provisions is assessed by comparing assessed income with income processed on the return, so unchanged deemed income under section 115JC does not eliminate penalty exposure. Processing under section 143(1)(a) remains mandatory under the amended regime despite a scrutiny notice. Penalty may apply despite no revenue loss or demonstrated intent to evade tax, with required faceless approval. Highlights Income Tax Fri, 30 Oct 2026 09:42:12 +0530 https://www.taxtmi.com/highlights?id=105602