2002 (11) TMI 13 - HC - Income Tax

Penalty u/s 271D violation of provision of section 269SS receiving the money in cash - By the impugned order the Tribunal has upheld the order passed by the Commissioner of Income-tax (Appeals) whereby penalty levied on the respondent/assessee under section 271D was deleted - Tribunal s order shows that the conclusion of the Tribunal that there was a reasonable cause in not strictly complying with the provisions of section 26955 of the Act is based on relevant factors. The view taken by the Tribunal is not either perverse or so irrational that no reasonable person on the given facts would have come to the same conclusion

Summary

High Court Delhi upheld Tribunal's decision to delete penalty under section 2nD of the Income-tax Act for assessment year 1990-91. Tribunal found reasonable cause for receiving money in cash due to benefits from timely cheque clearance. Tribunal's decision based on relevant factors not considered perverse or irrational. Appeal dismissed.