ITAT deletes penalty – Bonafide mistake in disclosing foreign asset in ITR

Addl. CIT Vs Tejal Ashish Mehta (ITAT Mumbai) ITAT Mumbai has upheld the deletion of a penalty of Rs. 10.00 lakhs imposed under section 43 of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. The penalty was levied for the non-disclosure of a life insurance policy held outside India in the income tax return. The ITAT ruled that the non-disclosure was a bonafide mistake and that the policy had been surrendered in the previous financial year. The decision relied on the precedent set in the case of Addl.CIT vs. Leena Gandhi Tiwari. Extract from ITAT Order  ...