Penalty u/s 271(1)(c)

This discussion explains the calculation of penalties under Section 271(1)(c) of the Indian Income Tax Act. It provides a practical example where an assessee's returned income of ₹10 lakh faces additions of ₹10 lakh, with penalty initiated on ₹5 lakh. The explanation details how the penalty is determined based on the difference in tax liability with and without the concealed income, using a tiered tax rate structure.