https://www.taxtmi.com/caselaws?id=25125 The High Court upheld the validity of the penalty order dated January 30, 1979, under section 271(1)(c) of the Income-tax Act, 1961, disagreeing with the Tribunal's findings. The Court clarified that the two-year limitation period applies to the initial penalty order and that delay alone does not invalidate the order without proper assessment. Emphasizing the need to evaluate the reasons for delay and its impact, the Court ruled in favor of the Revenue, stating that the penalty order was not bad in law solely due to delay. The Tribunal's decision to quash the penalty order was deemed based on a misconception of law. en-us Wed, 12 Aug 1987 00:00:00 +0530 Mon, 25 Jan 2010 15:36:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=25125 The High Court upheld the validity of the penalty order dated January 30, 1979, under section 271(1)(c) of the Income-tax Act, 1961, disagreeing with the Tribunal's findings. The Court clarified that the two-year limitation period applies to the initial penalty order and that delay alone does not invalidate the order without proper assessment. Emphasizing the need to evaluate the reasons for delay and its impact, the Court ruled in favor of the Revenue, stating that the penalty order was not bad in law solely due to delay. The Tribunal's decision to quash the penalty order was deemed based on a misconception of law. Case-Laws Income Tax Wed, 12 Aug 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=25125