Bona Fide Claim by Charitable Trust Not Misreporting, 200% Penalty Unsustainable: ITAT Mumbai

Narrotam Morarjee Institute of Shipping Vs National Faceless Assessment Appeal Centre (NFAC) (ITAT Mumbai) Penalty u/s 270A Deleted – Bona-Fide Claim by Charitable Trust Not Misreporting – 200% Penalty Unsustainable – ITAT Mumbai AO levied penalty u/s 270A @200% alleging misreporting of income on (i) claim of 15% exemption u/s 11(1)(a) on unutilized accumulation taxed u/s 11(3), and (ii) depreciation/capital expenditure issues. CIT(A) upheld penalty. ITAT held that assessee had duly disclosed unutilized accumulation in ROI and claim was made under bona-fide belief relying on judicial pre...