2011 (3) TMI 1030

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....s by the revenue and it relates to the assessment year 2006-07. The only ground taken is that the CIT(A) erred in cancelling the penalty of Rs.2,14,550/- imposed on the assessee under section 272A(2)(c) of the Income Tax Act, 1961.   2. The assessee is a private limited company. It was bound to deduct tax from certain payments made by it. The tax was duly deducted. However, the assessee fa....

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....ainst which the revenue is in appeal.   3. The only question to be considered is whether there was any reasonable cause for the assessee for the delay. The CIT(A) has entered the following findings:-   (a) Section 200(3) is the applicable provision and this provision was inserted with effect from 01.04.2005 by the Finance (No.2) Act, 2004. This was the first year after the introduc....

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....g the statements or in filing them in electronic form.   (f) Despite all the difficulties, the quarterly TDS returns ultimately were filed by the assessee voluntarily without being prompted by any notice from the department.   (g) There is no revenue loss since the tax has been deducted and paid to the Government. Only the paper work was delayed, which is only a technical breach. &....