200% Sec 270A Penalty Invalid for Failure to Specify Misreporting Limb: ITAT Delhi

S S R S MEM EDU Society Vs ACIT (ITAT Delhi) ITAT Delhi Quashes Sec 270A Penalty – Failure to Specify Misreporting Limb Makes 200% Penalty Invalid In SSRS MEM EDU Society vs ACIT (AY 2018-19), the ITAT Delhi allowed the assessee’s appeal and deleted penalty levied u/s 270A. The AO had imposed penalty @200% of tax payable alleging misreporting of income; however, the Tribunal noted that neither the assessment order nor the penalty order specified the exact limb of “misreporting” under section 270A(9), which is mandatory for sustaining penalty. The ITAT held that penalty proceedings are ...