2025 (2) TMI 542 - AT - Income Tax

Penalty Under Section 271F Overturned: Tribunal Finds Income Tax Return Filed Timely for Assessment Year 2013-14

Hari Mohan and Sons Versus The Income-tax Officer Ward -3 (2) (1) Muzaffarnagar

The Appellate Tribunal ruled in favor of the assessee, determining that the return of income for the Assessment Year 2013-14 was filed within the ... Penalty u/s 271F - assessee was non-filer and has not filed return for AY 2013-14 u/s 139 - HELD THAT:- We find that the assessee has filed its Return of Income for AY 2013-14 on 21.02.2014, a fact recorded by the AO in its assessment order u/s 143(3)/147 dated 31.03.2022. Assessee filed the return of income as per the provision of the section 139 within the time limit provided under the Act. CIT(A) wrongly held the assessee to be a non filer. We find that as the assessee has filed its Return of Income u/s 139(5) within time prescribed under the Act, the assessee can not be visited with the mischief of penalty u/s 271F. We, therefore, allow the grounds of appeal raised by the assessee and delete the penalty. Decided in favour of assessee. The case involves an appeal against the imposition of a penalty under section 271F of the Income-tax Act, 1961 for the Assessment Year 2013-14. The Assessing Officer imposed the penalty as the assessee allegedly failed to file the return of income as required by law. However, it was argued that the assessee had indeed filed the return within the prescribed time limit. The Appellate Tribunal found in favor of the assessee, stating that the return was filed on time and hence the penalty was unjustified. Consequently, the penalty of Rs 5000 was deleted, and the appeal was allowed.