The AO levied the penalty for failure to furnish audit report on legal representative. CIT(A) affirmed the order of the AO.  On appeal the Tribunal  held that  words any sum referred in sub-S. (1) of S. 159 have been substituted in place of words any tax which occurred  under section i  24B of the IT Act, 1922 so as to cover not only tax payable but also any penalty or interest. Therefore, legal representatives of the deceased are also liable to pay penalty on behalf of the deceased assessee pursuant to the provisions of S. 159(1). However, sub-S. (4) of S. 159 only empowers recovery of the tax liability to the extent of estate of deceased assessee succeeded by Legal Representative.   Penalty is different and distinct in nature than tax, penalty proceedings abate on the death of the assessee. If recovery of penalty is permitted against the estate of deceased, then it would clearly lead to permitting the enforcement of crime against the right of Legal heir  in the succeeded estate. Accordingly  penalty under S. 271B is not sustainable and cannot be recovered from the Legal heir  upon the death of the assessee. Penalty is deleted,  Referred Bhuban Mohan Mitter Charitable Trust v. ITO (1993) 45 ITD 617 (Cal)(Trib)  Bhagwansingh Shriramsingh L/H Dinesh Bhagwan Singh v. ITO (2006) 9 SOT 73 (Mum) (Trib )  Taraknath Gayen & Ors. v. CEGAT (1987) 31 ELT 631 (Cal)(HC),Omwati v. UOI  (2000) 125 ELT 136 (All)(HC).  (AY. 2017-18)