Penalty u/s 271AAC cannot survive once Section 69 addition is deleted in quantum

RishirajHitendra Bhandari Vs ITO (ITAT Mumbai) The Mumbai ITAT allowed the assessee’s appeal for AY 2017-18 and deleted the penalty levied under section 271AAC, holding that the penalty was purely consequential to the addition made under section 69 of the Income-tax Act. In the quantum proceedings, the CIT(A) had entirely deleted the adition under section 69 relating to alleged unexplained investment in an immovable property (which was primarily in the name of the assessee’s father, with the assessee as a joint owner). The Revenue did not challenge this quantum relief. The Tribunal observe...