No 271(1)(c) Penalty Without Willful Concealment or Furnishing Inaccurate Details

Eureka Outsourcing Solutions Pvt. Ltd. Vs DCIT (ITAT Mumbai) In a significant judgment, the Income Tax Appellate Tribunal (ITAT) in Mumbai has set a precedent by deleting the penalty levied under section 271(1)(c) of the Income Tax Act, 1961, against Eureka Outsourcing Solutions Pvt. Ltd. for the Assessment Year 2015-16. The tribunal’s decision underscores the principle that making an incorrect claim does not tantamount to furnishing inaccurate particulars of income. Case Background: Eureka Outsourcing Solutions Pvt. Ltd. faced a penalty of Rs.3,39,616 under section 271(1)(c) for allege...