Section 271(1)(c) Penalty Quashed for Vague Notice Without Specifying Charge: ITAT Indore

Pramod Kumar Gupta Vs DCIT (ITAT Indore) Penalty u/s 271(1)(c) Quashed for Vague Notice and Estimated Addition; Failure to Specify Charge Vitiates Proceedings – ITAT Indore The Indore Bench of the ITAT allowed the assessee’s appeal and deleted penalty of ₹6.50 lakh levied under section 271(1)(c) for AY 2010-11, holding the entire penalty proceedings to be vitiated due to defective and vague notices and absence of specific satisfaction. The addition in assessment was made by applying an estimated net profit rate of 8%, based on earlier years, and penalty proceedings were initiated without...