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Rs 30 lakh salary, missed ITR after job switch; why ITAT cancelled Rs 3.74 lakh tax penalty

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September 2, 2026
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What appeared to be a filing lapse eventually turned into a tax penalty of Rs 3.74 lakh. The Income Tax Department took a strict view of the matter, maintaining that had the non-filing not been detected, Aggarwal might not have filed his ITR at all. This, in turn, would have meant that his salary and interest income remained unreported.

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