Proviso to Section 276CC protects only voluntary pre-notice compliance; a belated return after Section 142(1) notice does not bar prosecution.

Section 276CC of the Income-tax Act treats failure to furnish a return under Section 139(1) and failure to comply with a notice under Section 142(1) as distinct defaults capable of prosecution. The proviso gives protection only where a return is voluntarily furnished before detection of default and before issue of notice under Section 142(1) or Section 148. A belated return filed after such notice does not erase the earlier default or bar criminal proceedings, and later compliance under Section 139(4) does not negate liability already incurred.

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Issues: Whether prosecution under Section 276CC of the Income-tax Act, 1961 was barred where the return was filed belatedly after notice under Section 142(1) and whether the summoning order could be quashed in exercise of inherent jurisdiction.

Analysis: Section 276CC covers failure to furnish a return under Section 139(1) and also failure to comply with notices under Section 142(1) or Section 148. The proviso to Section 276CC grants limited protection only where a return is furnished voluntarily under Section 139(1) before detection of default and before issuance of notice under Section 142(1) or Section 148. A belated return filed after such notice does not attract that protection. Failure to comply with Section 139(1) and failure to comply with a notice under Section 142(1) are distinct defaults, each supporting prosecution. The filing of a return under Section 139(4) after notice does not undo the earlier breach or bar the criminal process.

Conclusion: The prosecution was validly maintainable and the summoning order did not warrant interference; the petition failed.

Ratio Decidendi: The proviso to Section 276CC protects only voluntary belated compliance under Section 139(1) before detection and notice, and later filing after a Section 142(1) notice does not extinguish criminal liability for the prior default.

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