1989 (9) TMI 81

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....LA J. -The questions raised in this reference at the instance of the assessee are : "(1) Whether the Tribunal erred in law in holding that mens rea is not an essential ingredient for imposition of penalty under section 271 (1) (a) of the Income-tax Act, 1961 ? (2) Whether the Tribunal erred in law in holding that the levy of interest under section 139 has nothing to do with the levy of penal....

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....n was filed on December 24, 1970. While completing the assessment, the Income-tax Officer charged interest under proviso (iii) to section 139(1) of the Income-tax Act for the period from October 1, 1970, up to December 23, 1970. He also initiated penalty proceedings under section 271(1)(a) and required the assessee to show cause why penalty under that section should not be levied. The assessee'....

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....nsion of time and an, order thereon extending the time as a matter of fact. However, interest under proviso (iii) to section 139(1) was charged. The Supreme Court approved the view taken by the High Court that the time for filing the return should be deemed to have been extended by the Income-tax Officer and once the time for filing the return is deemed to have been extended, there is no question ....