Jurisdiction to levy penalty u/s 271(1)(c) fails for non-application of mind by AO

Dinesh Sitaram Patil Vs ITO (ITAT Pune) We note that, while culminating the reassessment proceeding in the case of the assessee, the Ld. AO vide concluding para placed at page 4 of his order communicated the assessee his action of initiating the penalty proceedings u/s 271(1)(c) of Act for ‘under reporting / mis-reporting’ of income however by the impugned order has ended up levying penalty u/s 271(1)(c) for ‘furnishing inaccurate particulars of income’, which found perfunctory sustained by the Ld. CIT(A). Undisputedly in the present case before us, the Ld. AO in the course of reassess...