No Section 271(1)(c) Penalty based on Unsubstantiated Loose Sheets: ITAT Delhi

Laxmi Narayan Mittal Vs ITO (ITAT Delhi) The Income Tax Appellate Tribunal (ITAT), Delhi, allowed the assessee’s appeal for Assessment Year 2016-17 and deleted the penalty imposed under Section 271(1)(c) of the Income-tax Act, 1961. The appeal arose from the order of the Commissioner of Income Tax (Appeals), who had upheld the Assessing Officer’s order dated 28.08.2024 levying a penalty of Rs. 3,49,546 under Section 271(1)(c) for alleged concealment of income. During the hearing, the Tribunal sought clarification regarding the quantum additions that formed the basis of the penalty. It was ...