Dismissing the appeal of the revenue the Court held that disallowance made under section 14A because there was no evidence in respect of furnishing inaccurate particulars of income. Deletion penalty by the Appellate Tribunal is held to be justified.
PCIT v. Gruh Finance Ltd. (2018) 100 taxmann.com 103 / 259 Taxman 421 (Guj.)(HC) Editorial : SLP of revenue is dismissed ; PCIT v. Gruh Finance Ltd. (2018) 259 Taxman 420 (SC)
S. 271(1)(c) : Penalty concealment-Disallowance of expenditure- Exempt income–mere disallowance of expenditure cannot be held to be furnishing inaccurate particulars of income–Deletion of penalty is held to be justified. [S. 14A, R.8D]