https://www.taxtmi.com/caselaws?id=14360 In an appeal under section 260A of the Income-tax Act, 1961, the High Court may stay penalty proceedings initiated pursuant to the assessment order because the appeal provision attracts the Code of Civil Procedure through section 260A(7). The Court treated the penalty notice as connected to the assessment order rather than wholly independent, and therefore held that Order 41, Rule 5 could support a stay of such proceedings. Even if that rule did not strictly apply, the Court said it could act under its inherent powers under section 151 CPC. The scheme of section 275 was also noted as recognising exclusion of time when penalty proceedings remain stayed by court order. en-us Mon, 24 Jul 2000 00:00:00 +0530 Wed, 15 Jul 2009 13:46:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=14360 In an appeal under section 260A of the Income-tax Act, 1961, the High Court may stay penalty proceedings initiated pursuant to the assessment order because the appeal provision attracts the Code of Civil Procedure through section 260A(7). The Court treated the penalty notice as connected to the assessment order rather than wholly independent, and therefore held that Order 41, Rule 5 could support a stay of such proceedings. Even if that rule did not strictly apply, the Court said it could act under its inherent powers under section 151 CPC. The scheme of section 275 was also noted as recognising exclusion of time when penalty proceedings remain stayed by court order. Case-Laws Income Tax Mon, 24 Jul 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=14360