No Section 271D Penalty on Family Cash Loans: ITAT Bangalore

Rajiv Manharlal Duseja Vs ACIT (ITAT Bangalore) The Income Tax Appellate Tribunal (ITAT) Bangalore allowed the appeal filed by Rajiv Manharlal Duseja, challenging the penalty of ₹2.20 lakhs imposed for the assessment year 2007-08. The penalty was levied by the Additional Commissioner of Income Tax under section 271D of the Income Tax Act, 1961, for allegedly violating section 269SS by accepting cash loans totaling ₹2.20 lakhs from his father and paternal aunt. The assessee argued that the loans were taken in installments and he believed that section 269SS applied only when individual cash ...