TaxTMI 
TaxTMI 
2015 (10) TMI 1614
X X X X Extracts X X X X
X X X X Extracts X X X X
....of deduction of tax in Form No.26Q for the first quarter of the financial year 2009-10. On processing of the aforesaid return, it was observed that PANs of as many as 56 tax-deductees were invalid and the assessee deductor did not submit correct PANs in respect thereof. On being show caused as to why penalty u/s 272B of the Act be not imposed, the assessee furnished its reply dated 9.1.2012 submitting the copies of correction returns duly stating PANs of a few tax deductees which were not earlier available. The AO invoked the provisions of section 139(5B) and imposed penalty @ Rs. 10,000/- per breach amounting in total to Rs. 5,60,000/- for the first quarter of the year. Similar is the position for the remaining three quarters for which the....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ection 200: ...................." 5. A careful perusal of this provision indicates that where an amount has been paid after deducting tax, then, the person deducting tax is required to quote the Permanent Account Number in the statements mentioned in the provision. Non-compliance with the mandate of section 139A attracts penalty u/s 272B, the relevant part of which reads as under:- "Penalty for failure to comply with the provisions of section 139A. 272B. (1) If a person fails to comply with the provisions of section 139A, the Assessing Officer may direct that such person shall pay, by way of penalty, a sum of ten thousand rupees. (2) If a person who is required to quote his permanent account number in any document referred to in clause....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd complied with the requirement by filing the revised statement. 7. At this juncture, it is pertinent to note that the provisions of section 272B are subject to section 273B of the Act, which provides that notwithstanding anything contained in the provisions, inter alia, of section 272B, no penalty shall be imposed for any failure referred to in the said provision if it is proved that there was a reasonable cause for the said failure. Considering the entirety of the facts and circumstances prevailing in the instant case, I find that there was a reasonable cause in the assessee not mentioning the correct PANs in respect of a few deductees at the time of originally filing e-TDS quarterly statement of deduction of tax in Form No.26Q, which w....