Section 270A(9)(a) Penalty Cannot be Levied for Adhoc Disallowance of Expenditure

VDB Infra and Realty Private Limited Vs ITO (ITAT Bangalore) In a recent case before the Income Tax Appellate Tribunal (ITAT) Bangalore, the issue of levying penalty under Section 270A(9)(a) of the Income Tax Act, 1961, for adhoc disallowance of expenditure was thoroughly examined. The case involved VDB Infra and Realty Private Limited versus the Income Tax Officer (ITO) and raised significant questions regarding the applicability of penalties for alleged misreporting of income. The appeal was directed against the order of the National Faceless Appeal Centre (NFAC) for the assessment year 2017...