No Specific Charge = No Penalty – ITAT Deletes 270A Penalty for Vague Notice Bonafide Claim

Mustafa Alihusain Sunelwala Vs ITO (ITAT Pune) No Specific Charge = No Penalty – ITAT Deletes 270A Penalty for Vague Notice Bonafide Claim In Mustafa Alihusain Sunelwala vs ITO, the Pune ITAT deleted penalty u/s 270A, holding that absence of a clear charge and existence of a bona fide claim defeats penalty for “misreporting”. The assessee’s return was subjected to scrutiny where deductions for cost of improvement and exemption u/s 54F were disallowed due to lack of evidence and ineligibility. The AO completed assessment ex-parte and levied penalty of ₹15.48 lakh u/s 270A, treating th...