If notices don't specify under which limb the penalty is levied, then the same is not sustainable

INCOME TAX APPELLATE TRIBUNAL
DELHI BENCH “E”: NEW DELHI
BEFORE MS SUCHITRA KAMBLE, JUDICIAL MEMBER
AND
SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER
(Through Video Conferencing)
ITA No. 3989/Del/2018
(Assessment Year: 2010-11)

ACIT,
Central Circle-15,
New Delhi

(Appellant)

VS

Nagar Dairy Pvt. Ltd,
3/10 Paschimi Marg, Vasant Vihar, New Delhi
PAN: AABCN7304C

(Respondent)

Revenue by :
Shri Gaurav Pundir, Sr. DR
Assessee by:
Shri Divyansh Jain, CA

Date of Hearing
27/7/2021
Date of pronouncement
27/07/2021

O R D E R

This appeal is filed by the revenue against the order of the ld CIT(A)-XXVI, New Delhi 16.03.2018 for Assessment Year 2010-11, wherein, the penalty levied u/s 271(1)(c) of the Act vide order dated 20.03.2017 by the ld Asstt. Commissioner of Income Tax, Central Circle-15, New Delhi was deleted.

2. Briefly stated the facts shows that a search and seizure action was carried out in the case of the Assessee on 17.09.2010. The assessment u/s 144 read with section 153C was completed on 28.03.2013 at the total income of Rs. 2,90,63,39,728/- which was later on rectified at an income of Rs. 1,82,29,24,640/- against the return of income was Rs. 1,52,44,063/-. The addition was made in the hands of the assessee being disallowance of various expenditure.

3. The Assessee preferred an appeal before the ld CIT(A) wherein, detailed submission were made and the ld CIT(A) after considering the submission of the Assessee deleted the penalty noting that the penalty has been levied on all adhoc disallowance and penalty is not tenable on adhoc disallowances.

4. In view of this we uphold the orders of the ld CIT(A) and dismissed the appeal of the revenue.
Order pronounced in the open court on 27/07/2021.

Please find attached the enclosed file for the full judgement