Tax Penalty Cancelled After Tribunal Accepts Declared Income

Vimal Alloys Pvt. Ltd. Vs DC/ACIT (ITAT Chandigarh) Chandigarh ITAT Deletes Penalty as Quantum Itself Vanished- Fresh Assessment Accepted Returned Income: Assessee had originally filed return declaring income of Rs. 62,43,060/-, whereas the AO, in assessment u/s 143(3), enhanced the income to Rs. 1,09,53,555/-. Based on this addition, a penalty @ 200% amounting to Rs. 32,49,546/- was levied. CIT(A) later reduced the penalty to Rs. 16,24,773/-. However, in quantum proceedings, the earlier assessment was set aside by Tribunal (ITA 275/CHD/2019, order dated 24-05-2022). AO thereafter passed a fre...