Chiguruvada Dileep Kumar Vs DCIT (ITAT Bangalore)
The Income Tax Appellate Tribunal (ITAT), Bangalore, partly allowed the assessee’s appeal for Assessment Year 2020-21 by quashing the penalty order passed under Section 270A of the Income Tax Act, 1961 and directing the Assessing Officer to consider the assessee’s application seeking immunity under Section 270AA in accordance with law. The Tribunal also dismissed as infructuous a second appeal filed belatedly against the same appellate order, holding that two appeals could not lie against the same impugned order.
The assessee, an individual, filed the original return of income declaring total income of ₹37,34,200 and claimed exemption under Section 10(13A) along with deductions under Chapter VI-A. The return was processed and a refund was issued. Subsequently, the assessee filed a revised return declaring total income of ₹34,34,200 with a reduced claim under Section 10(13A) and a loss under the head “Income from House Property.” The case was selected for complete scrutiny to verify the refund, differences with Form 26AS, and deductions claimed under Chapter VI-A.
During assessment proceedings, the Assessing Officer examined the claims under Sections 80C, 80E and 10(13A). The deductions under Section 80E and exemption under Section 10(13A) were disallowed due to lack of supporting evidence, resulting in additions of ₹29,53,200 and ₹2,28,166 respectively, aggregating to ₹31,81,366. The assessee accepted the additions and paid the tax demand raised under Section 156.
