High Court Rules No Penalty for Corrected Depreciation Claim Error u/s 271(1)(c) Due to Currency Fluctuation Losses.

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....Penalty u/s 271(1)(c) - depreciation on account of the increase in the cost of machinery due to foreign currency fluctuation losses - At worst, in the instant case, the petitioner’s action could be construed as one where it sought to make a claim which was unsustainable in law. That by itself, in the given circumstance, would not call for imposition of penalty, as once the error was pointed out by the AO, the respondent/assessee made a course correction before the assessment order was passed. - No penalty - HC....