https://www.taxtmi.com/caselaws?id=21486 The High Court dismissed the application seeking a reference from the Appellate Tribunal under section 256(2) of the Income-tax Act, 1961. The case involved penalty proceedings under section 271(1)(c) related to cash credits. The Court found that the assessee had provided evidence of both the capacity and actual advance of the creditors, supporting a plausible explanation. It was determined that the High Court lacked jurisdiction to order a reference on pure questions of fact. Therefore, the application was dismissed, emphasizing the need for a valid explanation with evidence in penalty proceedings and the court's limitations in ordering references on factual issues. en-us Tue, 11 Feb 1992 00:00:00 +0530 Tue, 24 Nov 2009 17:10:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21486 The High Court dismissed the application seeking a reference from the Appellate Tribunal under section 256(2) of the Income-tax Act, 1961. The case involved penalty proceedings under section 271(1)(c) related to cash credits. The Court found that the assessee had provided evidence of both the capacity and actual advance of the creditors, supporting a plausible explanation. It was determined that the High Court lacked jurisdiction to order a reference on pure questions of fact. Therefore, the application was dismissed, emphasizing the need for a valid explanation with evidence in penalty proceedings and the court's limitations in ordering references on factual issues. Case-Laws Income Tax Tue, 11 Feb 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21486