1973 (4) TMI 46 - HC - Income Tax

Summary

The High Court of Delhi upheld a penalty reduction from Rs. 15,535 to Rs. 2,500 under section 271(1)(a) of the Income-tax Act, 1961 for an assessment year of 1958-59. The Tribunal reduced the penalty considering extenuating factors and legal provisions from the Indian Income-tax Act, 1922. The court's opinion was based on a previous case, Commissioner of Income-tax v. Maya Rani Punj, stating that the penalty could not be reduced below the minimum prescribed amount. The court answered the question in the negative and made no order as to costs.