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2021 (6) TMI 985 - ITAT MUMBAIPenalty u/s 271(1)(c) - defect in the show causer notice issued under section 274 - non specification of charge - excess claim of deduction u/s 36(1)(viia) in respect of provision for bad and doubtful debt relating to rural branches as AO observed that certain branches in respect of which the assessee had claimed the deduction, do not qualify as rural branches - HELD THAT:- AO has issued a generic show cause notice in a printed form without mentioning the specific charge by striking off the inapplicable words. Thus, the show cause notice issued under section 274 r.w.s section 271(1)(c) is a vague and omnibus notice revealing complete non-application of mind by the assessing officer. Thus, as relying on SMT. KAUSHALYA AND OTHERS [1995 (1) TMI 25 - BOMBAY HIGH COURT] penalty order passed under section 271(1)(c) of the Act, has to be declared as invalid. Thus respectfully following the Full Bench decision of Mohammed Farhan A Shaikh vs DCIT [2021 (3) TMI 608 - BOMBAY HIGH COURT] we hold the impugned order passed under section 271(1)(c) of the Act as invalid and without jurisdiction due to defect in the show cause notice issued under section 274 r.w.s. 271(1)(c) of the Act. Thus, the penalty order passed in pursuance thereto, being vitiated, has to be quashed. Accordingly, we uphold the decision of learned Commissioner (Appeals) in deleting the penalty imposed under section 271(1)(c) - Decided in favour of assessee.
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