TMI Blog2005 (2) TMI 72X X X X Extracts X X X X X X X X Extracts X X X X ..... e(s) : G. S. SINGHVI., A. K. MITTAL. JUDGMENT The judgment of the court was delivered by Ajay Kumar Mittal J.- The Revenue has filed the present appeal under section 260A of the Income-tax Act, 1961 (for short, "the Act"), against the order of the Income-tax Appellate Tribunal, Delhi Bench "B", New Delhi (for short "the Tribunal"), passed in I.T.A. No. 1873 Delhi of 1999 dated January 30, 2004, for the assessment year 1993-94 claiming that the following substantial question of law arises in this appeal: "Whether, on the facts and circumstances of the case, the hon'ble Income-tax Appellate Tribunal was right in law in dismissing the appeal of the Department and uphold the action of the Commissioner of Income-tax (Appeals) in cancel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ----------- 4. Smt. Shanti Devi 10,000 10-8-1992 10,000 11-8-1992 10,000 31-8-1992 10,000 12-9-1992 400 40,400 23-9-1992 ----------- 5. Shri Satbir Singh 10,000 12-9-1992 10,000 23-9-1992 10,000 25-9-1992 7,400 37,400 8-10-1992 ---------- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Commissioner of Income-tax (Appeals), Rohtak, and carried the matter in appeal to the Tribunal, which was dismissed vide order dated January 30, 2004. Shri Rajesh Bindal, learned counsel for the Revenue, submitted that the penalty had been rightly imposed by the Deputy Commissioner of Income-tax, Hisar Range, Hisar, and he supported the order imposing penalty. He argued that the orders of the Commissioner of Income-tax (Appeals) and the Tribunal cancelling the penalty are perverse and, therefore, substantial question of law as claimed by the Revenue arises in this appeal. We have heard learned counsel for the Revenue and with his assistance have perused the record. The relevant provisions of sections 269T, 271E and 273B of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -operative society or the firm, either in his own name or jointly with any other person on the date of such repayment together with the interest, if any, payable on such deposits, is twenty thousand rupees or more: Provided that where the repayment is by a branch of a banking company or co-operative bank, such repayment may also be made by crediting the amount of such deposit to the savings bank account or the current account (if any) with such branch of the person to whom such deposit has to be repaid: Provided further that nothing in this sub-section shall apply to or in relation to the repayment of any deposit before the date on which the Income-tax (Second Amendment) Act, 1981, receives the assent of the President. Explanation.- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eposits. It stipulates that no company including a banking company, cooperative society or firm shall repay to any person any deposit made with it otherwise than by an account payee cheque or account payee bank draft drawn in the name of the person who had made the deposit if the amount of deposit together with interest is Rs. 20,000 or more. Section 271E is included in Chapter XXI of the Act which deals with penalties imposable for failure to comply with the provisions of section 269T of the Act and it speaks of levy of penalty equal to the amount of the deposit so repaid in contravention of section 269T of the Act. Section 273B of the Act provides that no penalty is imposable for any failure referred to in the said provisions, if the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thority to be exercised judicially and on a consideration of all the relevant circumstances. The authority competent to impose the penalty will be justified in refusing to do so, when there is a technical or venial breach of the provisions of the Act or where the breach flows from a bona fide belief that the offender is not liable to act in the manner prescribed by the statute. 6.1 As pointed out earlier, there is no doubt about the genuineness of the transactions which have been fully accepted in the assessment made for the year under consideration. Even if, there is any ignorance, which resulted in the infraction of law, the default is technical or venial which did not prejudice the interests of the Revenue as no tax avoidance or tax ev ..... X X X X Extracts X X X X X X X X Extracts X X X X
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