ITAT Mumbai Deletes ₹37 Lakh 271D Penalty: Third-Party Statements Insufficient

Kamal Dwarkadas Gadodia Vs ACIT (ITAT Mumbai) ITAT Mumbai Deletes ₹37 Lakh Penalty u/s 271D: Third-Party Statements Alone Not Enough The Mumbai Bench of the ITAT allowed the assessee’s appeal for AY 2010-11 and deleted the penalty of ₹37,00,000 levied under section 271D for alleged violation of section 269SS, holding that the penalty was imposed solely on the basis of third-party statements without any corroborative evidence. The assessee, Kamal Dwarkadas Gadodia, was subjected to penalty proceedings after the Assessing Officer alleged acceptance of cash loans of ₹37 lakh, based on sta...