https://www.taxtmi.com/caselaws?id=37124 The High Court dismissed the application under s. 256(2) of the Income Tax Act, upholding the penalty imposed under s. 271(1)(a) on the assessee for late filing of the return and adding back interest paid to partners. The Court emphasized the department's burden to prove the failure to file the return without reasonable cause, which was not established in this case. The Tribunal's findings on the lack of genuine belief by the assessee regarding taxable income and absence of actual borrowing were upheld, leading to the rejection of the application for reference to the High Court. en-us Fri, 20 Apr 1979 00:00:00 +0530 Fri, 26 Mar 2010 16:40:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=37124 The High Court dismissed the application under s. 256(2) of the Income Tax Act, upholding the penalty imposed under s. 271(1)(a) on the assessee for late filing of the return and adding back interest paid to partners. The Court emphasized the department's burden to prove the failure to file the return without reasonable cause, which was not established in this case. The Tribunal's findings on the lack of genuine belief by the assessee regarding taxable income and absence of actual borrowing were upheld, leading to the rejection of the application for reference to the High Court. Case-Laws Income Tax Fri, 20 Apr 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=37124