TMI Blog2023 (2) TMI 853X X X X Extracts X X X X X X X X Extracts X X X X ..... nd the assessee has voluntarily complied though belatedly. The reasons based on upon it the audit report was filed belated is explained by the assessee by filling a correct fact on record and the assessee immediately filed the audit report after getting rewriting the books of account and the reason placed on record are the genuine and it may happen to anyone and has to face technical bugs in the system and the delay based on that technical bug in filling the audit report is based on genuine reasons. Therefore, she has sufficient reason to file the audit report delayed. We find that this is a reasonable cause which has resulted into failure of the assessee to comply with the law. We find that penalty levied u/s 271B cannot be levied fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /- under Section 271B of the I.T. Act, 1961 which is wrong, unwarranted and bad in law. Kindly delete the same. 2. That the appellant craves permission to add to or amend or any of the above grounds of appeal or to withdraw any of them. 3. The facts as culled out from the records is that the assessee e-filed her return of income on 09.02.2018 declaring total income at Rs. 3,21,510/-. The case was selected for scrutiny assessment which was completed vide assessment order u/s 143(3) of the Income-tax Act, 1961 dated 19.12.2019 at total income of Rs. 3,21,510/-. The AO initiated the penalty u/s 271B of the Act for failure to file audit report on due date. Penalty notice u/s 274 r.w.s. 271B of the act dated 19.12.2019 was issued. 3.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... return of income, therefore, any further delay is not tenable. The assessee failed to furnish the audit report within due date and the same was uploaded on 07.02 2018. After examining assessee's reply, no reasonable cause was found for such delay. Therefore, it is held that penalty u/s 2718 is leviable in this case at one half percent of total turnover, i.e. Rs.1,77,037/- or Rs. 1,50,000/- whichever is less. Considering the facts of the case, penalty of Rs. 1,50,000/- is hereby levied u/s 271B of the Act. Therefore, a penalty of Rs. 1,50,000/- is hereby imposed on the assessee us 271B of the Act. 4. On receipt of an order levying penalty u/s 271B of the Act dated 28.12.2021 imposing penalty of Rs. 1,50,000/- the assessee preferred a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed upon by appellant can be distinguished from the facts of this case. In view of the above discussion this ground of appeal is dismissed. 5. As the assessee did not find any favor from an appeal filed before the Commissioner of Income Tax, appeals the assessee has filed an appeal before this tribunal on the grounds as raised here in above. To support the grounds so raised by the assessee the ld. AR appearing on behalf of the assessee submitted a paper book containing the audit report, affidavit of the assessee, assessment order and the fact that in earlier year the audit reports were submitted in time. The ld. AR of the assessee also submitted that the audit report was filed suo moto before pointing out by revenue. The ld. AR of the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 3,54,07,472/-, assessee suppose to get their books of account audited and has to furnish a report of a Chartered Accountant by 31.10.2017. As explained by the assessee in her affidavit that the computer data crashed and therefore, the accounts rewritten and the audit report ultimately submitted on 07.02.2018. This fact is submitted by the assessee in a sworn affidavit. The revenue did not controvert this fact and also the fact that the assessee has voluntarily filed delayed audit report and subsequent scrutiny assessment was also completed without finding any fault. This shows that the assessee is compliant. The ld. AR of the assessee also submitted that in past also no such default is observed by the revenue and the assessee has voluntar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o malafide intention and the assessee has voluntarily complied though belatedly. The reasons based on upon it the audit report was filed belated is explained by the assessee by filling a correct fact on record and the assessee immediately filed the audit report after getting rewriting the books of account and the reason placed on record are the genuine and it may happen to anyone and has to face technical bugs in the system and the delay based on that technical bug in filling the audit report is based on genuine reasons. Therefore, she has sufficient reason to file the audit report delayed. We find that this is a reasonable cause which has resulted into failure of the assessee to comply with the law. In view of this, we find that penalty le ..... X X X X Extracts X X X X X X X X Extracts X X X X
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