Case Law Analysis
|Income Tax Appellate Tribunal
Section 270AA Income Tax Act | Penalty Proceedings Must Be Suspended Until Form 68 Immunity Application Is Decided : ITAT Delhi
The ITAT Delhi has ruled that once a taxpayer files Form 68 seeking penalty immunity under Section 270AA, the tax officer cannot proceed with or finalize a penalty order until the immunity application is adjudicated. This establishes a mandatory procedural pause, protecting taxpayers from premature penal action and reinforcing statutory due process in income tax assessments.