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2020 (2) TMI 824 - ITAT DELHILevy of penalty u/s 271(1)(c) - forex loss was claimed as revenue expenditure - HELD THAT:- It is true that the assessee has claimed forex loss as revenue expenditure. It is equally true that once the Assessing Officer has disallowed the same, the assessee did not agitate the matter before the first appellant authority which is evident from the order of the ld. CIT(A) – 35, New Delhi dated 04.10.2017 wherein we can find grounds relating to foreign exchange loss of ₹ 21.22 crores was never pressed by the assessee and the same were dismissed. Going deep into the facts of the case, we find that the appellant company is operating with no employees and is under liquidation with no business operations. It is has sold its entire business vide agreement dated 31.07.2012 w.e.f 01.04.2012. All the employees of the assessee got transferred and it is managed by a liquidator. We find that the assessee had disclosed ECB to the tax auditor. However, while preparing the return of income, due to inadvertent unintentional error, forex loss was claimed as revenue expenditure. In our humble opinion, inadvertent claim of expenditure would not, ipso facto, amount to concealment of income or furnishing of inaccurate particulars of income to levy penalty u/ 271(1)(c) - See Reliance Petro Products [2010 (3) TMI 80 - SUPREME COURT] and the Hon'ble Supreme Court in the case of Price Waterhouse Coopers Pvt Ltd [2012 (9) TMI 775 - SUPREME COURT] - Decided in favour of assessee.
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