Section 270A Penalty Order Set Aside for Lack of Opportunity: ITAT Lucknow

Mohd Husain Vs ITO (ITAT Lucknow) Income Tax Appellate Tribunal (ITAT), Lucknow Bench, has set aside a penalty of Rs. 3,34,447 imposed under Section 270A of the Income Tax Act, 1961, on assessee Mohd Husain for the assessment year 2017-18. The Tribunal’s decision, delivered today, rules in favor of the assessee, citing a critical lack of reasonable opportunity provided by both the Assessing Officer (AO) and the Commissioner of Income Tax (Appeals) [CIT(A)]. The dispute began with a penalty order issued by the AO on September 21, 2022, which was subsequently upheld by the CIT(A) in an order d...