Bombay HC Quashes Section 270A Penalty Due to Absence of Under-Reported Income

GM Modular Private Limited Vs PCIT (Bombay High Court) The Bombay High Court considered a writ petition challenging an order passed under Section 264 of the Income-tax Act, 1961, which had summarily rejected a revision application without reasons, and a penalty order under Section 270A for Assessment Year 2019–20. The dispute arose from disallowance of employees’ contribution to PF/ESI under Section 36(1)(va), initially made while processing the return under Section 143(1)(a) and subsequently reiterated in assessment proceedings under Sections 143(3) read with 153A. Although the disallowan...