Section 271AAC Penalty Unsustainable After Assessment Is Quashed: ITAT Delhi

Ritu Tuli (through legal heir Sh. Sandeep Tuli) Vs DCIT (ITAT Delhi) In the case of Ritu Tuli (through legal heir Sh. Sandeep Tuli) Vs DCIT, the Income Tax Appellate Tribunal (ITAT), Delhi, allowed the assessee’s appeal against penalty levied under Section 271AAC(1) of the Income Tax Act for Assessment Year 2017-18. The penalty of Rs.8,14,987 was imposed in relation to additions of Rs.81,49,875 made under Sections 68/69 read with Section 115BBE in an assessment completed on 31.12.2022. The Commissioner of Income Tax (Appeals) had upheld the penalty order. During the hearing before the Tribun...