1994 (1) TMI 41 - HC - Income Tax

Summary

The High Court of Madras ruled in favor of the assessee, stating that there was a reasonable cause for the delay in filing the return of income. The penalties under sections 271(1)(a) and 273(c) were cancelled based on the belief of the assessee that he had no income to be returned, supported by the fact that the assessment was based on his brother-in-law's income. The court upheld the Tribunal's finding that the delay was not without reasonable cause.