If a mismatch is found, there is no point in completing the loop. Simply return False from inside the if block. But that aside, your code will work including on the special case the SCT tests for, reversed_list([], []). Did it not pass? What message was given in the footer of the editor?
The solution is below:
def reversed_list(lst1, lst2):
for index in range(len(lst1)):
if lst1[index] != lst2[len(lst2) - 1 - index]:
return False
return True
There should not be an else clause since it interrupts the loop prematurely.
If you look at the solution, return True is not in loop, but after it. We only want to return False from inside the loop since there is no reason to continue.