TMI Blog1997 (1) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... questions under section 256(1) of the Income-tax Act, 1961, for our opinion : "1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that penalty under section 271(1)(a) leviable in this case, should be restricted to Rs. 1,000 against Rs. 6,908 leviable as per the provisions of section 271(1)(a) ? 2. Whether, on the facts and in the circumstances of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the penalty that would be leviable would be Rs. 6,908. On further appeal by the Revenue, the Income-tax Appellate Tribunal accepted the case of the Department that there was no reasonable cause on the part of the assessee in not filing the return within the time prescribed by the statute and the finding that there was no reasonable cause on the part of the assessee for not filing the return by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee remained unrepresented and after hearing learned senior standing counsel for the Department and after perusing the records, we find that the contention of learned senior counsel for the Department has force. Under the provisions of section 271(1)(a) of the Income-tax Act, 1961, if the Income-tax Officer is satisfied that an assessee has, without reasonable cause, failed to furnish the r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the provisions of the Income-tax Act and after the Tribunal has recorded a finding that penalty is attracted, it has no jurisdiction to reduce the amount of penalty than the one prescribed under that section. The question whether the authorities functioning under the Act can reduce the quantum of penalty below the one prescribed by the statute, was the subject-matter of consideration in several de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessing authority found that there was no reasonable cause for the delay on the part of the assessee in the submission of the return. The Tribunal has also confirmed the imposition of penalty. In this view of the matter, we are unable to sustain the view taken by the Appellate Tribunal that the penalty leviable would be Rs. 1,000 which is less than the statutory prescription. Hence, we answe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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