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of <h1>Tax Penalty Cancelled if Tax Liability Discharged</h1> The High Court of Punjab and Haryana held that penalty under section 271(1)(a) was not applicable if the tax liability was discharged. The penalty imposed ... Firm, Penalty The High Court of Punjab and Haryana ruled in favor of the assessee, stating that penalty under section 271(1)(a) was not applicable if the tax liability was discharged. The penalty imposed by the Income-tax Officer was canceled, affirming the decision of the Appellate Assistant Commissioner and the Tribunal. The judgment was delivered by S. S. Sodhi and Gokul Chand Mithal. (Case citation: 1989 (3) TMI 100 - Punjab and Haryana High Court)
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