Reasonable cause for delayed firm registration filing accepted where illness was supported by medical evidence and required verification.

A two-day delay in filing Form No. 11 for registration of a firm was treated as condonable where the assessee showed reasonable cause through a medical certificate stating that one partner was under treatment during the relevant period. A rejection based on a mere assumption about the nature of dysentery was found inadequate, and the seriousness of the illness should have been verified by examining the doctor. The application for registration was therefore directed to be entertained, the lower orders were set aside, and the matter was remanded to the Income-tax Officer to decide the registration claim on merits.

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Issues: Whether the delay of two days in filing Form No. 11 for registration of the firm was liable to be condoned on the ground of reasonable cause.

Analysis: The delay was nominal and was supported by a medical certificate showing that one partner was under treatment during the relevant period. The rejection of the certificate on a mere assumption about the nature of dysentery was not treated as sufficient, and the seriousness of the illness ought to have been verified by examining the doctor.

Conclusion: The delay was held to be covered by reasonable cause and the application for registration was directed to be entertained. The orders of the lower authorities were set aside and the matter was remanded to the Income-tax Officer to decide the claim for registration on merits.

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