Section 270A penalty cannot be levied if disallowance made on estimated basis

Pallava Textiles Private Limited Vs ITO (ITAT  Chennai) In this case, the Assessing Officer has initiated penalty proceedings under section 270A of the Act for under-reported income. The Assessing Officer issued show-cause notice under section 274 r.w.s. 270A of the Act calling explanations from the assessee as to why penalty cannot be levied for under-reporting the income. The assessee has submitted that all the details before the Assessing Officer and also expenditure incurred by the assessee. Therefore, the Assessing Officer, on estimated basis, disallowed an amount of ₹.20,32,748/- and ...