Whether addition in respect of personal expenditure estimated by the A.O is liable for penalty u/s 270A?
Income tax assessments often involve estimation. In many cases, the Assessing Officer (A.O.) makes additions by estimating personal expenditure, especially when books of accounts are incomplete or expenses appear excessive. However, a common and serious concern for taxpayers is whether such estimated additions automatically attract penalty under Section 270A of the Income-tax Act,…
