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2021 (8) TMI 954 - AT - Income TaxPenalty u/s 271(1)(c) - claim of deduction u/s 10A denied - HELD THAT:- Levy of penalty in this case is unsustainable because mere preferring a claim which is unacceptable to the Revenue does not ipso facto lead to levy of penalty. Here in this case, Form No. 56F duly signed by the Chartered Accountant justifies the plea of bona fide belief on the part of the assessee. It is not the allegation against the assessee that any material fact relating to the income had to be unearthed with any efforts of the Revenue. It is only on the basis of the material furnished by the assessee, claim of the assessee for benefit u/s. 10A of the Act in respect of 31 units as independent, was rejected. Every disallowance does not lead to penalty, and more particularly such disallowances in relation to the issues which are debatable, in respect of which, the substantial questions of law are admitted by the Hon'ble High Court, are immune from penalty proceedings. With this view of the matter, we do not find any justification to sustain the penalty and consequently, we direct the Assessing Officer to delete the same. - Decided in favour of assessee.
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