No Section 271(1)(c) Penalty when no inaccurate particulars of income furnished

Khanpur Vibhag Madhyamik Shala Karmchari Dhiran & Grahak Sahakari Mandali Limited Vs ACIT (ITAT Ahmedabad) The Income Tax Appellate Tribunal (ITAT) in Ahmedabad has given a ruling favoring the assessee, an employee cooperative credit society. The ITAT stated that the penalty under section 271(1)(c) cannot be levied when no inaccurate particulars of income have been furnished by the assessee. The case in question was between Khanpur Vibhag Madhyamik Shala Karmchari Dhiran & Grahak Sahakari Mandali Limited Vs ACIT. Analysis: The case centers on the assessee’s belief that the intere...