https://www.taxtmi.com/caselaws?id=103448 The tribunal canceled the penalty imposed under section 271C of the Income-tax Act, 1961 for the assessment year 1995-96. It held that for transportation and lighterage charges, section 194C did not apply during the relevant period, and for labor charges below Rs. 20,000, no violation occurred. The appellant's argument against the penalty, based on Circular No. 681, the term "lighterage," and subsequent TDS payment, was accepted. The tribunal emphasized the importance of correctly interpreting tax laws and circulars, reasonable belief in tax compliance, and the significance of corrective actions in tax matters, ensuring fair outcomes. en-us Tue, 16 Oct 2001 00:00:00 +0530 Wed, 22 Feb 2012 18:15:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=103448 The tribunal canceled the penalty imposed under section 271C of the Income-tax Act, 1961 for the assessment year 1995-96. It held that for transportation and lighterage charges, section 194C did not apply during the relevant period, and for labor charges below Rs. 20,000, no violation occurred. The appellant's argument against the penalty, based on Circular No. 681, the term "lighterage," and subsequent TDS payment, was accepted. The tribunal emphasized the importance of correctly interpreting tax laws and circulars, reasonable belief in tax compliance, and the significance of corrective actions in tax matters, ensuring fair outcomes. Case-Laws Income Tax Tue, 16 Oct 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=103448