No penalty for wrong interpretations of provisions of Income Tax Act

Sunita Shreegopal Barasia Vs Asstt. CIT (ITAT Mumbai) Conclusion: Penalty under section 271(1)(c) could not be levied for bonafide explanation furnished by assessee as assessee had not offered interest income for tax due to wrong interpretations of the provisions of the Act, not on account of deliberate concealment of income or furnishing of inaccurate particulars of such income. Held: Assessee had claimed exemption under section 10(4)(ii) for receiving interest on NRE deposit under the bona fide impression that she was a non-resident under the provisions of Foreign Exchange Management Act, 19...