TaxTMI 
TaxTMI 
2019 (6) TMI 1254
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....ort the 'Act') dated 28/06/2013. 2. The grounds of appeal raised by the assessee are as follows: 1. For that the Appellate order passed was in violation of principles of natural justice and hence the entire proceeding was bad in law and thus the Appellate Order be cancelled / quashed. 2. For that in the facts and circumstances of the case the learned CIT(Appeals) of Income Tax erred in confirming the penalty u/s 272A(2)(k) of the Income Tax Act, 1961 without accepting the reasonable cause shown within the meaning of Sec 273B the Income Tax Act, 1961. The imposition of penalty was bad in law and hence the same be deleted and or quashed. 3. For that the penalty imposed u/s 272A(2)(k) of the Income Tax Act, 1961 b....
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....re us that the Assessing Officer was not justified in imposing the penalty as there was a reasonable cause for the failure of the submission of the Quarterly TDS statement and therefore penalty should not be imposed. The ld. DR for the revenue, per contra submitted that assessee did not furnish any evidence to state the nature of the reasonable cause, which had led to the delay in filing of the TDS statements, hence penalty should not be imposed. However, the ld. Counsel for the assessee submitted before us that the matter relating to TDS compliance was delegated by the assessee to its employee who was in charge of such compliances and also to file TDS returns as per norms. The employee without any intimation to the assessee left his employ....
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....can be viewed as deliberate defiance of law or arising from a conduct of gross negligence. As explained above, the assessee had delegated the said responsibility to its employee who left the job all of a sudden and there was no proper handover of pending duties which occasioned delay in filing the return. In other words, the default had happened for the reasons beyond the control of the assessee and as a man of ordinary prudence, the assessee had rectified the default as soon as the same was came to his notice. 7. We note that the assessee had deducted TDS as per the respective provisions of the Income Tax Act. The same was deposited within the due date at the Government Exchequer. Therefore from the financial point of view there was no ....
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....he scope for interference in a reference application or much less in a writ petition is extremely limited and unless the conclusions are perverse based on conjectures or surmises and/ or have been arrived at without consideration. of relevant material and/ or taking into account irrelevant material, there is no scope for interference. Reasonable cause, as applied to human action is that which would constrain a person of average intelligence and ordinary prudence. The expression "reasonable" is not susceptible of a clear and precise definition; for an attempt to give a specific meaning to the word "reasonable" is trying to count what is not number and measure what is not space. It can be described as rational according to the dictates of rea....
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.... whether, in a real life situation, assessee's explanation may hold good. As observed by the Hon'ble Supreme Court in the case of Hindustan Steel Ltd, "an order imposing penalty for failure to carry out statutory obligation is the result of quasi-criminal proceedings, and penalty will not ordinarily be imposed unless the party obliged either acted deliberately in defiance of law or was guilty of conduct contumacious or dishonest, or acted in conscious disregard to its obligations. " 9. We note that in the present case, the assessee deducted the TDS and deposited the same. Even there was no failure to submit return in Form 26Q. There was only failure for its timely submission - which by all counts is a technical breach. Further th....