ITAT held that the penalty proceedings u/s 271(1)(c) are ...

Penalty Notice Defects Invalidate Tax Proceedings: Procedural Fairness and Natural Justice Principles Prevail in Income Tax Assessment

May 15, 2025

Case Laws Income Tax AT

ITAT held that the penalty proceedings u/s 271(1)(c) are vitiated due to non-striking of irrelevant limbs in the show cause notice, which violates principles of natural justice. The tribunal found the omnibus notice demonstrated non-application of mind by the Assessing Officer. Despite voluntary disclosure of additional income post-survey, the assessee failed to establish unintentional concealment. Relying on precedent, the tribunal concluded that mere surrender of income does not automatically absolve penalty proceedings. Consequently, the appeal was dismissed, upholding the penalty levied by the lower authorities.

View Source

← Previous Next →

ITAT held that the penalty proceedings u/s 271(1)(c) are ...

Penalty Notice Defects Invalidate Tax Proceedings: Procedural Fairness and Natural Justice Principles Prevail in Income Tax Assessment

May 15, 2025

Case Laws Income Tax AT

You may also like:

HC invalidated the impugned SCN and demand notice under N/N. 9/2023-Central Tax, finding a violation of natural justice principles. The court set aside the order due to...

ITAT adjudicated a tax dispute regarding penalty u/s 271(1)(c), finding no justification for penalty imposition. The tribunal determined that returned income matched...

HC set aside GST assessment order due to absence of assessing officer's signature, holding it as a fatal procedural defect. The court determined that signature...

HC set aside penalty order u/s 270A and notice of demand u/s 156 due to procedural oversight. Department acknowledged they weren't informed about pending appeal...

ITAT invalidated reassessment proceedings due to jurisdictional defects in notice issuance under s.148. ITO Ward 3(2), Bulandsahar transferred assessee's records to ITO...

Penalty u/s 271(1)(c) - Defective notice - a proper satisfaction has been arrived at before initiation of penalty proceedings, and then a defect in notice including mere...

HC invalidated reassessment proceedings against the petitioner under Section 148A, finding a critical procedural defect. The AO's notice failed to substantiate the claim...

HC invalidated reassessment proceedings against the assessee, finding procedural irregularities in notice issuance. The order under Section 148A(d) was determined to be...

HC held that penalty proceedings under Section 271(1)(c) were unwarranted. The AO had previously accepted the full partition of the HUF during assessment under Section...

HC set aside GST assessment proceedings due to absence of Document Identification Number (DIN). Following established precedents and CBIC Circular No.128/47/2019-GST...

HC quashed tax demand order under GST Act due to procedural irregularities in notice service. Petitioner claimed no awareness of notices or orders, preventing timely...

HC held that under Sections 292B and 292BB of the Income Tax Act, the assessee cannot challenge the validity of a notice u/s 143(2) or assessment order u/s 143(3) after...

HC quashed the summary order in GST DRC-07 for procedural irregularities, specifically violation of natural justice principles. The court found the tax authority passed...

HC invalidated ex parte orders issued by tax authorities due to violation of natural justice principles. The respondent-Department failed to properly serve notices...

HC held that penalty proceedings initiated under two sections simultaneously are valid, but satisfaction must be recorded during assessment proceedings. The AO cannot...

Quick Updates: