| Question And Answer | |
|---|---|
| Subject: | Levy of Penalty u/s 270A of Income Tax Act, 1961 |
| Category: | Income-Tax |
| Querist: | CA. Ankit Tantia |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | penalty, waiver |
| Date: | September 8, 2023 |
An assessee had not filed his return of income for the Assessment Year 2018-19 voluntarily under section 139 inspite of having taxable income. The Return of Income was filed only in response to notice under section 148. But the assessee inadvertently escaped Saving Bank Interest and availed deduction under Section 80TTA.
The Assessment Unit made assessment under section 147 read with section 144B and added Saving Bank Interest and also allowed deduction under section 80TA. The Tax demanded under section 156 was duly paid within 30 days.
The Assessment Unit levied 50 % Penalty under Section 270A on the Tax Payable on the Total Income assessed considering the same as under reported income.
Almost 90 % of the Tax Payable was deducted by the Employer in the form of TDS on salary Income but even then Penalty was not levied on the entire Income considering the same as under reported income.
On what grounds the penalty be waived or reduced in CIT(Appeals)?
Any supporting case laws on the same ?
The assessee may make an application under section 270AA of the Act for waiver of penalty.
Thanks for the reply, But the time limit for application u/s 270AA has already expired. I have preferred an Appeal before CIT(Appeals).
Assesse did not file return for ay 17-18, 18-19. AO issued notice u/s 148 for ay 18-19. Assessee filed return and AO passed order accepting the return. AO also initiated penalty proceeding and imposed penalty u/s 270A(9)(1) is there any case laws favoring assesse