Income Tax Penalty cannot be Levied If Tax Audit was not done for a Reasonable Cause but Filed before Completion of Assessment [Read Order]

Income - Tax - Penalty - Tax - Audit - Reasonable - Cause - Assessment - TAXSCAN

The Chennai Bench of Income Tax Appellate Tribunal (ITAT) recently held that the income tax penalty cannot be levied if tax audit was not done for a reasonable cause but filed before completion of assessment. Haneefa Sahib Shajahan,theassessee has a jewelry business and heavy loss incurred in the fish net business, the assessee has submitted…

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