Income Tax Appellate Tribunal, Mumbai
Setting aside the penalty, ITAT held the mere fact that a return was furnished for the first time under Section 148 did not mean that the entire assessed income automatically qualified as under-reported income. The bench noted the income was already reported through the TDS mechanism, the property investment was explained, and no suppressed or unexplained income was found. He furnished supporting documents, including bank statements, a housing loan certificate and details of investments redeemed to fund the purchase. The I-T officer accepted the declared income without making any addition or variation. The salary income had already suffered tax deducted at source (TDS) and was reported by the employer. The property investment was also explained through a housing loan and sale of investments. These circumstances supported the bona fide nature of his explanation. ITAT, in its order, clarified the absence of an outstanding tax demand, by itself, does not rule out a penalty. However, full disclosure of income, deduction of tax at source and acceptance of return without additions were significant factors in favour of the taxpayer. You Can Also Check: Gold Rate in Mumbai | Silver Rate in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai | Mumbai AQI | Weather in Mumbai | Petrol Price in Mumbai | Diesel Price in Mumbai | CNG Price in Mumbai | LPG Price in Mumbai