The Commissioner Of Income Tax – 4, Mumbai v. M/S.first Flight Couriers Limited

IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.6985 OF 2010 The Commissioner of Income Tax – 4, Mumbai Versus M/s.First Flight Couriers Limited ..Appellant. ..Respondent. Mr.Vimal Gupta for the appellant.Mr.S.G. Dalal for the respondent. CORAM : J.P. Devadhar &A.R. Joshi, JJ. P.C. : DATE : 15[th] December 2011 1.Whether the Income Tax Appellate Tribunal was justified in deleting the penalty levied under Section 271(1)(c) of the Income Tax Act, 1961 is the question raised in this appeal. 2.In the present case, the penalty was levied on account of the delayed payment of employees contribution to Provident Fund and ESIC to the concerned authorities. The penalty has been deleted by the Income Tax Appellate Tribunal by recording a finding that the assessee had furnished all material facts and the explanation for the delay was found to be bona fide. The Income Tax Appellate Tribunal has further recorded a finding that the issue being debatable, the explanation given by the assessee was acceptable. 3.In this view of the matter, deletion of penalty levied under Section 271(1)(c) of the Income Tax Act, 1961 cannot be faulted. The appeal is accordingly dismissed with no order as to costs. (A.R. Joshi, J.) (J.P. Devadhar, J.)