https://www.taxtmi.com/caselaws?id=796669 Reasonable cause under the Income-tax Act can preclude penalties for accepting and repaying loans in cash where an immediate, bona fide emergency requires funds. Cash obtained for overseas immigration-related arrangements was treated as arising from genuine transactions because the lenders' identity and creditworthiness, and the transactions' genuineness, were accepted; no evidence linked the funds to unaccounted income or tax evasion. In those circumstances, a technical breach without deliberate disregard of law, contumacious conduct or evasion intent does not warrant penalty. The same emergency-based reasonable cause extends to cash repayment of the genuine loans, protecting against penalties for both acceptance and repayment. en-us Sun, 08 Mar 2026 00:00:00 +0530 Sat, 08 Aug 2026 08:32:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=796669 Reasonable cause under the Income-tax Act can preclude penalties for accepting and repaying loans in cash where an immediate, bona fide emergency requires funds. Cash obtained for overseas immigration-related arrangements was treated as arising from genuine transactions because the lenders' identity and creditworthiness, and the transactions' genuineness, were accepted; no evidence linked the funds to unaccounted income or tax evasion. In those circumstances, a technical breach without deliberate disregard of law, contumacious conduct or evasion intent does not warrant penalty. The same emergency-based reasonable cause extends to cash repayment of the genuine loans, protecting against penalties for both acceptance and repayment. Case-Laws Income Tax Sun, 08 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=796669