https://www.taxtmi.com/caselaws?id=55334 The ITAT upheld penalties under section 271(1)(c) of the IT Act against the assessee companies of the Mardia Group for claiming debenture interest upfront, concluding they furnished inaccurate income particulars. The ITAT, aligning with CIT(A), dismissed the assessee's bona fide claim, applying Explanation 1, and ruled the transactions were tax-evasive. Despite a dissenting opinion favoring the assessee's disclosure and explanation, the majority maintained the penalties, referencing the Supreme Court's precedent in Madras Industrial Investment Corporation Ltd. v. CIT, which clarified the law on debenture discount liability. en-us Mon, 19 Jul 2004 00:00:00 +0530 Wed, 03 Jul 2024 12:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=55334 The ITAT upheld penalties under section 271(1)(c) of the IT Act against the assessee companies of the Mardia Group for claiming debenture interest upfront, concluding they furnished inaccurate income particulars. The ITAT, aligning with CIT(A), dismissed the assessee's bona fide claim, applying Explanation 1, and ruled the transactions were tax-evasive. Despite a dissenting opinion favoring the assessee's disclosure and explanation, the majority maintained the penalties, referencing the Supreme Court's precedent in Madras Industrial Investment Corporation Ltd. v. CIT, which clarified the law on debenture discount liability. Case-Laws Income Tax Mon, 19 Jul 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=55334