No Section 271(1)(c) penalty for mere disallowance of depreciation

Gulshan International Pvt. Ltd. Vs ACIT (ITAT Delhi) The other issue relates to imposition of penalty on disallowance of claim of depreciation on Motorcyle on the ground that the Motorcycle is registered in the name of the Director. It is the case of the assessee that although the vehicle was registered in the name of the Director, the payment towards purchase was incurred by the assessee company, and therefore, beneficial ownership continues to remain with the company. It was further pointed out that perquisite to the extent of Rs.21,600/- under the provisions of Section 17(2) of the Act has ...