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2021 (4) TMI 816 - ITAT DELHIPenalty u/s 271(1)(c) - initiation of penalty is bad in law for the reason that penalty notice is vague as it does not specify the charge of penalty that whether the same is being levied for “concealment of particulars of income or furnishing inaccurate particulars of income” - HELD THAT:- It is pertinent to note that the actual limb of Section 271(1)(c) is not mentioned by the Assessing Officer and from the perusal of the penalty order it can be seen that the reasoning and satisfaction imposing penalty is not as per the provisions of penalty under Income Tax Statute. As per the Ld. AR on merit as well the penalty cannot be levied and when we have seen the order of the Tribunal confirming the addition made by the Commissioner of Income Tax, it appears that the same does not tantamount for imposing penalty as the assessee was under bonafide belief while not quantifying the said amount in the income of the assessee. Tribunal in quantum has deleted the addition with reference to which impugned penalty was imposed vide order in assessee’s own case bearing [2019 (12) TMI 1035 - ITAT DELHI] -Thus, the addition upon which the penalty is imposed no longer sustains and hence, the penalty also does not survive. Hence, the appeal of the assessee is allowed.
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