Cash sale consideration and reasonable cause supported deletion of penalty where receipts were disclosed and co-owners received comparable treatment.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Penalty for accepting cash sale consideration under section 271D was examined in a co-owned property transaction involving an alleged contravention of section 269SS. The relevant circumstances included disclosure of the full sale consideration for taxation after receipt of cash and the absence of penalty against a co-owner participating in the same transaction. Applying the coordinate Bench approach on identical facts, the penalty was deleted. The discussion treats subsequent tax disclosure, comparable treatment of co-owners, and reasonable cause as material considerations in determining whether a cash-acceptance penalty should stand.....