2008 (4) TMI 720

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....e opinion of this Court under s. 256(1) of the IT Act, 1961 (the Act) at the instance of the CIT. R.A. No. 713/Ahd/1997 : Whether the Tribunal is right in law and on facts in cancelling the penalty levied under s. 271D ? Whether the Tribunal has correctly appreciated the facts on records so as to cancel the penalty levied ? R.A. No. 714/Ahd/1997 : Whether the Tribunal is right in law and on fact....

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....l transactions in the name of Manal Anandkumar was ₹ 18,374. Therefore, for the financial year 1989-90 the opening balance was ₹ 18,374. Cheque of ₹ 15,000 was given on 25th July, 1989 and ₹ 5,000 on 23rd Oct., 1989. The cheque were also given on 15th Dec., 1989 and 20th Dec., 1989, only a sum of ₹ 2,100 was paid in cash. It was submitted that this payment was not bus....

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.... Tribunal that the assessee has reasonable cause in accepting the amount in cash. 6. In relation to the two questions referred under reference application No. 714/Ahd/1997, the AO noted that the assessee had paid certain amount in cash totalling to ₹ 2,11,531 and, therefore, imposed a penalty of ₹ 71,500 under s. 271E of the Act. The CIT(A) confirmed the said penalty. 7. In the appe....