Judgment :- R. JAYASIMHA BABU, J. The assessee is aggrieved by the order of penalty for delayed submission of return. Admittedly, the delay was long. Numerous applications for extension of time had been filed. The Tribunal has taken those applications into account. It has held that the period not covered by those applications were periods for which there was no satisfactory explanation. As the reason for seeking time was that the accounts had to be finalised but there was no material to show as to when the accounts were given to the auditors. The delay in submitting the audit report was pleaded as the reason for the further delay that had occurred after the periods covered by Form No. 6 had expired. The discretion exercised by the Tribunal in rejecting the explanation was entirely within its jurisdiction and did not violate any principle of law. It did not act arbitrarily in rejecting such explanation. The questions (The questions were as follows : (1) Whether the Tribunal was right in law in confirming levy of penalty under section 271(1)(a) for the balance period from January 1, 1979 ? (2) Whether the assessee's application Form No. 6, dated October 10, 1979, seeking time till October 31, 1979, should not have been considered as a valid application and accepted by the officer ? (3) Whether the Tribunal ought not to have held that the reasonable cause having been the same had continued to be so even after December 31, 1978, till the date of return ?) referred to us regarding the correctness of the levy of penalty which was upheld by the Tribunal is, therefore, answered against the assessee and in favour of the Revenue.