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<h1>Appeal Dismissed: Delayed Audit Report Impact on Penalty</h1> <h3>Kwality Skin Co. Versus Assistant Commissioner Of Income Tax And Another.</h3> Kwality Skin Co. Versus Assistant Commissioner Of Income Tax And Another. - [2002] 254 ITR 386, 172 CTR 75, 119 TAXMANN 876 High Court Punjab and Haryana dismissed the appeal regarding penalty under section 271B of the Income-tax Act, 1961. The audit report was not ready by the due date as claimed by the assessee. The Tribunal reversed the Commissioner's order. The appeal was dismissed with no costs.