No Penalty under 271(1)(c) for Bonafide Assessee: ITAT Delhi

Pramila Tarneja Vs DCIT (ITAT Delhi) In a significant verdict, the Income Tax Appellate Tribunal (ITAT) Delhi has ruled that no penalty under section 271(1)(c) of the Income Tax Act shall be levied on a bonafide assessee who revises and adds interest income to their return. This decision arises from the case of Pramila Tarneja Vs. DCIT. 1. Background: The case pertains to appeals against the order of the Commissioner of Income Tax (Appeals) for the assessment years 2010-11 to 2012-13. The central issue in these appeals was the imposition of penalties under section 271(1)(c) of the Income Tax A...