Penalties canceled for late filing with reasonable cause, upheld for no cause. No intent to conceal income.

The ITAT canceled penalties imposed under section 271(1)(a) for assessment years 1968-69 and 1969-70 due to a reasonable cause for delay in filing the return for 1968-69, but upheld the penalty for 1969-70 where no reasonable cause was provided. Additionally, the penalty under section 271(1)(c) for 1968-69 was canceled as there was no intent to conceal income.

---

---

Issues:
- Penalty imposed under section 271(1)(a) for assessment years 1968-69 and 1969-70.
- Penalty imposed under section 271(1)(c) for assessment year 1968-69.

Analysis:
1. The appeals involved a common issue of penalties imposed by the Income-tax Officer under section 271(1)(a) for the assessment years 1968-69 and 1969-70.
2. For the assessment year 1968-69, the assessee explained the delay in filing the return due to a bonafide belief that its income was below the taxable limit. The Appellate Assistant Commissioner confirmed the penalty, but the ITAT held that there was a reasonable cause for the delay and canceled the penalty.
3. In contrast, for the assessment year 1969-70, the ITAT upheld the penalty as the assessee failed to provide a reasonable cause for the delay in filing the return, and the income declared was higher than claimed.
4. Another appeal involved a penalty imposed under section 271(1)(c) for the assessment year 1968-69. The ITAT found that there was no mens rea to conceal income as the assessee promptly filed a revised return upon realizing the omission. The penalty was canceled due to lack of justification for retaining it.
5. The ITAT allowed appeals related to penalties under section 271(1)(a) and canceled penalties for the assessment years 1968-69 and 1969-70, while dismissing the appeal for the penalty under section 271(1)(c) for the assessment year 1968-69.

---