Pune ITAT Deletes ₹50 Lakh Penalty U/s 271D; Third-Party Statement Alone Cannot Prove Cash Loan

Mitul Jagdishchandra Shah Vs ITO (ITAT Pune) Pune ITAT Deletes ₹50 Lakh Penalty U/s 271D; Third-Party Statement Alone Cannot Prove Cash Loan In a significant ruling, the Pune ITAT deleted a penalty of ₹50 lakh levied under section 271D for alleged violation of section 269SS, holding that the Revenue cannot impose penalty merely on the basis of a third-party statement and loose papers without any independent corroborative evidence proving receipt of a cash loan. The assessee was alleged to have received a cash loan of ₹50 lakh from another person based on information gathered during a sea...