https://www.taxtmi.com/caselaws?id=20684 The court ruled in favor of the assessee, upholding the cancellation of the penalty imposed by the Income-tax Officer for the assessment year 1965-66. The court emphasized that penalty under section 271(1)(a) requires a factual determination of whether the assessee failed to furnish the return without reasonable cause. As the Income-tax Appellate Tribunal found in favor of the assessee's bona fide belief regarding its income level, the court deemed the cancellation of the penalty justified. Issues 1 and 2 were left unanswered as they were not raised before the Tribunal and were considered academic in light of the decision on issue 3. en-us Thu, 24 Sep 1992 00:00:00 +0530 Mon, 16 Nov 2009 15:40:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20684 The court ruled in favor of the assessee, upholding the cancellation of the penalty imposed by the Income-tax Officer for the assessment year 1965-66. The court emphasized that penalty under section 271(1)(a) requires a factual determination of whether the assessee failed to furnish the return without reasonable cause. As the Income-tax Appellate Tribunal found in favor of the assessee's bona fide belief regarding its income level, the court deemed the cancellation of the penalty justified. Issues 1 and 2 were left unanswered as they were not raised before the Tribunal and were considered academic in light of the decision on issue 3. Case-Laws Income Tax Thu, 24 Sep 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20684