1996 (8) TMI 16 - HC - Income Tax

Summary

The High Court of Madras considered whether the Income-tax Appellate Tribunal was correct in canceling a penalty imposed by the Income-tax Appellate Commissioner under section 271(1)(c) for the assessment years 1966-67 and 1971-72. The Tribunal's decision was based on a Karnataka High Court ruling which was later overturned by the Supreme Court. The High Court held that the IAC had jurisdiction to impose the penalty, and directed the Tribunal to reconsider the case on its merits.