The Tax Publishers2020 TaxPub(DT) 5382 (Bang-Trib)

INCOME TAX ACT, 1961

Section 271(1)(c)

When substantial question has been admitted on quantum assessment, penalty under section 271(1)(c) cannot survive since the additions made were apparently debatable/doubtful.

Penalty under section 271(1)(c) - Validity - Addition in quantum proceedings -

Assessee filed appeal against the order of CIT(A) imposing penalty under section 271(1)(c) for the enhancement made by him in the quantum assessment. Held: Court In case of CIT v. Dr. Harsha N.Biliangady [ITA No.292 of 2014 (Judgment dt. 10-3-2015) : 2016 TaxPub(DT) 0163 (Karn-HC)], it was held that when substantial question has been admitted on quantum assessment, penalty under section 271(1)(c) cannot survive since the additions made were apparently debatable / doubtful. Following the same, penalty imposed under section 271(1)(c) in given facts and circumstances of the case need to be deleted.

Followed:CIT v. Dr. Harsha N.Biliangady [ITA No. 292 of 2014 (Judgment dt. 10-3-2015) : 2016 TaxPub(DT) 163 (Karn-HC)].

REFERRED :

FAVOUR : In favour of assessee.

A.Y. : 2012-13



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