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2023 (1) TMI 40 - ITAT PUNEPenalty u/s 271(1)(c) - quantum disallowances/additions made by the AO regarding the assessee’s section 80IA deduction raised for the first time in section 153A assessments completed in furtherance to the search - HELD THAT:- We see no reason to accept the Revenue’s stand. We make it clear that the hon’ble Apex court’s landmark decision in CIT Vs. Reliance Petro Products [2010 (3) TMI 80 - SUPREME COURT] has settled the law long back that quantum and penalty proceedings are parallel in nature wherein each and every disallowance/addition made in the course of the former does not ipso facto attracts the latter provision. Hon’ble jurisdictional high court’s decision in PCIT Vs. JSW Steel Ltd. [2020 (2) TMI 307 - BOMBAY HIGH COURT]also holds that an assessee can very well raise its deduction claim for the first time in section 153A assessment proceedings. Mr. Jasnani could not pinpoint any exception to this proposition in section 153A itself qua raising of such a claim in abated or unabated assessments. Be that as it may, we make it clear that we are dealing with penalty proceedings only. We thus conclude that both the lower authorities have erred in law and on facts in imposing these penalties in the impugned four assessment years before us. The same are directed to be deleted. The assessee succeeds in its instant identical sole substantive grievance therefore.
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