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2018 (3) TMI 215 - AT - Income TaxPenalty u/s 271(1)(c) - assessee claimed the foreign exchange fluctuation amount on account of an inadvertent error - no clear specification of charge - Held that:- The assessee’s intention was not to conceal the income. The assessee had rightly disclosed it in the Profit and Loss account and not included while computing the taxable income. The revised return of income filed by the assessee has also been accepted by the AO. In view of the judgment in the case of CIT vs. Reliance Petro products P. Ltd. (2010 (3) TMI 80 - SUPREME COURT) we are of the view that it is not a fit case for levy of penalty as AO had not given any finding separately as to whether there was concealment of income or whether assessee had furnished inaccurate particulars of income. The AO has imposed the penalty on the ground of disallowance of foreign exchange fluctuation. The assessee cannot be fastened with the law of penalty without there being a clear specific charge. Fixing a charge should not be in a casual manner and it has not been permitted under the law. - Decided in favour of assessee
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