No Penalty on addition based on decision not available at the time of filing ROI

The revenue authorities had imposed penalty on the ground that deduction under section 80HHC of the Act was wrongly claimed. The Tribunal however, deleted such penalty. The Tribunal noted that tax liability against the assessee was confirmed on the basis of the decision of the Apex Court in the case of  CIT v. Ravindranathan Nair, 295 ITR 228. The Tribunal noted that such decision was not available when the assessee filed the return. On such basis,   the Tribunal was prompted to delete the penalty. In our view, the Tribunal committed no error.   The Tribunal relied on the decision in the ...