Tanalur Service Co-operative Bank Limited v. The Assistant Commissioner of Income-tax

Parties Involved

Facts Summary

The assessee, Tanalur Service Co-operative Bank Limited, filed an appeal against the National Faceless Appeal Centre, Delhi's order dated 31.01.2023, which levied a penalty under section 271B of the Income Tax Act, 1961 for not filing its tax audit report within the stipulated due date. The assessee had filed the report on 06.02.2018, which was approved on 22.10.2017. The assessee also filed a stay application to prevent the department from recovering the corresponding demand. During the hearing, it was found that the assessee had a reasonable cause for filing the tax audit report belatedly due to procedural approvals under the state cooperative law.…

Legal Issues

• 1. Whether the assessee had a reasonable cause for filing the tax audit report belatedly?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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