Section 271(1)(c) penalty not automatic on mere expense Disallowance or Income Enhancement 

Dion Global Solutions Limited Vs ACIT (ITAT Delhi) In the case of Dion Global Solutions Limited vs. ACIT, the Delhi Income Tax Appellate Tribunal (ITAT) addressed the imposition of penalties under Section 271(1)(c) of the Income Tax Act, 1961, concerning the assessment year 2007-08. The assessee challenged the penalty imposed on disallowance of expenses amounting to Rs. 32,95,228/- and additions on account of unearned income of Rs. 102,33,994/-. The Assessing Officer (AO) imposed a penalty of Rs. 45,98,566/- on these additions. During the hearing, the assessee did not appear, and the Tribunal ...