ITAT Deletes Section 270A Penalty for Estimated Income Accepted in Assessment

DCIT Vs L. Javerchand Jewellers Pvt. Ltd. (ITAT Bangalore) The Income Tax Appellate Tribunal (ITAT) dismissed the Revenue’s appeal and upheld the order of the Commissioner of Income Tax (Appeals) deleting the penalty of ₹1,79,27,172 levied under Section 270A of the Income Tax Act, 1961. The assessee, a closely held private limited company engaged in wholesale trading of gold jewellery, filed its original return of income for Assessment Year 2019-20 declaring total income of ₹1,08,17,950, which was processed under Section 143(1). Subsequently, search proceedings were conducted in conn...