Section 270A Penalty Deleted on Excess Section 80G Deduction Claim: ITAT Jabalpur

Police Welfare Petrol Pump Vs DCIT (ITAT Jabalpur) Material Facts The assessee, a Police Welfare Society registered under Section 12A and approved under Section 80G of the Income-tax Act, operated a petrol pump and claimed exemption of its income as incidental to its charitable objects. The assessment under Section 143(3) resulted in additions after the Assessing Officer held the income was not eligible for exemption. Penalty proceedings under Section 270A were initiated, and penalty of 200% of the tax payable on under-reported income was levied. The CIT(A) upheld the penalty. Procedural Histo...