Accepted Disclosure Cannot Be Treated as Misreporting for Penalty Purposes: ITAT Surat

Dipesh Narendrakumar Patel Vs ITO (ITAT Surat) The ITAT Surat deleted the penalty of ₹1,12,320 levied under Section 270A of the Income-tax Act, holding that there was neither under-reporting nor misreporting of income by the assessee. The assessee had originally claimed a deduction of ₹1,80,000 under Section 80GGC for a donation to a political party. Following a search operation that revealed alleged bogus donations through certain political parties, the assessee, upon receiving a notice under Section 148, voluntarily withdrew the deduction and filed a revised return declaring the addition...