2016 (7) TMI 1334

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....s of the case as noted in the impugned order are that the assessee is operating as commission agents in Village, Changali Jadid, Dist:- Ferozepur. During the year under consideration, the assessee received and repaid deposit in cash from four agriculturists. The acceptance and repayments of such deposits in cash were in excess of statutory limit of 20,000/-. Therefore, the assessee was imposed penalties for violation of provisions of Section 269SS and 269T of the Act, 1961 (in short, "the Act"). The appeals filed by assessee before learned CIT(A) were also dismissed. However, the Hon'ble ITAT, Amritsar Bench remitted the issue to learned CIT(A) for reconsideration of the cases and therefore, learned CIT(A) after hearing the assessee deleted....

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....tempting to give a specific meaning to the word "reasonable" is trying to count what is not number and measure what is not space. Ordinarily, reasonable cause would mean an honest belief founded upon reasonable grounds of the existence of a state of circumstances which (assuming them to be true), would reasonably lead any ordinary, prudent and cautious person (placed in the position of the person concerned) to come to the conclusion that the same was the right thing to do. The cause has to be considered and only if it is found to be frivolous, without substance or foundation, as held by the Hon'ble Delhi High Court in the case of the Woodward Governors of India (P) Ltd [2001] 118 taxman 433, 745, penalty can be imposed. In the context of pe....