2016 (8) TMI 1044 - SCH - Income Tax

Penalty u/s 271-D and 271-E - Held that - On perusing the judgment of the High Court 2006 (7) TMI 163 - RAJASTHAN High Court it is found that penalty imposed on the respondent herein was also set aside on the ground that the provisions of Section 271-D and 271-E of the Income Tax Act were invoked after six months of limitation and, therefore, such penalty could not have been imposed. Since the outcome of the judgment of the High Court can be sustained on this aspect alone, it is not even necessary to go into other aspects. Leaving the other questions of law open, the appeal is dismissed.

Summary

The Supreme Court dismissed the appeal as the penalty imposed on the respondent under Section 271-D and 271-E of the Income Tax Act was set aside by the High Court due to being invoked after the six-month limitation period. Other legal questions were left open, and no costs were awarded.