Reasonable cause excused delay in tax audit report filing, no penalty imposed.

The Income Tax Appellate Tribunal (ITAT) allowed an assessee's appeal against a penalty under Section 271B for not complying with Section 44AB. The assessee demonstrated a reasonable cause for the delay in filing the tax audit report, believing no return was required due to nil taxable income after deductions. Upon receiving a notice under Section 142(1), the assessee promptly appointed a CA firm, conducted a tax audit, and filed the return. The ITAT found the assessee's actions justified the initial non-compliance under Section 273B, thus excusing the delay without imposing a penalty. .....

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