ITAT Bangalore Deletes Bonus Disallowance, Penalty as CIT(A) Ignored Evidence

Bhuvaneshwari Enterprises Vs ITO (ITAT Bangalore) Bangalore ITAT Deletes Bonus Disallowance and Consequential Penalty; CIT(A) Faulted for Ignoring Additional Evidence The Bangalore ITAT in Shri Bhuvaneshwari Enterprises v. ITO deleted the disallowance of ₹2.64 lakh bonus paid to employees and consequently quashed the penalty of ₹1.63 lakh levied for alleged misreporting of income. The assessee, a liquor business partnership firm, had claimed bonus expenditure which was disallowed by the Assessing Officer because the amount was not reflected in the salary ledger produced during assessment p...