9911796707
TMI Blog1976 (5) TMI 54X X X X Extracts X X X X X X X X Extracts X X X X ..... 3(c) of the IT Act, 1961 for the asst. yr. 1970-71. 2. For the asst. yr. 1970-71 by notice under s. 156 dt. 2nd Sept., 1969 the assessee was called upon to pya an advance tax of Rs. 3,665 on the basis of the last completed assessment from 1968-69 and the assessee had complied with the demand. The assessee filed a return for the said assessment year on 16th Sept., 1971 admitting an income of Rs. 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 73(c) of the Act. 3. On appeal the AAC cancelled the penalty observing as under :-- "I have carefully considered the arguments of the assessee's auditor and looked into the evidence let in the by him. Admittedly the assessee has share income from three firms. Her main source of income is her 30 per cent share in the registered firm of Hind Wire and Metal Industries. That firm has filed its retur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Revenue has filed this appeal before us. The learned Departmental Representative Shri Gopinath vehemently contended that the AAC failed to see that the accounting year of the firm ended on 30th June, 1969 and in the absence of any large additions in the total income determined in the firm in which she is a partner, the assessee could estimate her share income from Hind Wire & Metal industries c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. 212(3A). The levy of penalty under s. 273(c) for failure to file an estimate of advance tax under s. 212(3A) is not automatic. It has to be seen whether the failure was without reasonable cause. On that facts of the case as set out above and as considered by the AAC we are satisfied that there was reasonable cause for the assessee's failure to furnish the estimate under s. 212(3A). We, therefo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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