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2020 (8) TMI 306 - AT - Income TaxPenalty u/s 271(1)(c) - non-disclosure of interest income - HELD THAT:- Regarding the non-disclosure of interest income by the assessee in the income tax return, we note that the assessee has declared taxable income in the income tax return amounting to ₹ 41,99,530/- whereas interest income stands at ₹ 34,912/- which is less than 1% of the income declared by the assessee. Thus, we are of the view that the assessee failed to disclose such interest income in the income tax return without any dishonest intent. Thus in such circumstances, we are of the view that there cannot be any penalty for the addition made to the total income on account of such interest income. See KANBAY SOFTWARE INDIA (P) LIMITED. [2009 (4) TMI 499 - ITAT PUNE-A] Disallowance of the expenses for accounting charges and other expenses respectively against the interest income received from the partnership firm - Deduction claimed by the assessee has been held as false. Thus at the most, the claim made by the assessee can be wrong/inaccurate claims which cannot be treated as concealment/inaccurate particular of income. In holding so we find support and guide from the judgment in case of Reliance Petro Products Pvt. Ltd. [2010 (3) TMI 80 - SUPREME COURT] held a mere making of the claim, which is not sustainable in law by itself will not amount to furnishing of inaccurate particulars regarding the income of the assessee. Such claim made in the return cannot amount to the inaccurate particulars. We disagree with the finding of the authorities below. Accordingly we set aside the finding of the learned CIT (A) with the direction to the AO to delete the penalty imposed by him. Hence the ground of appeal of the assessee is allowed.
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