https://www.taxtmi.com/caselaws?id=325062 The High Court ruled in a case involving a State Government department failing to deduct income tax on payments to government corporations. The court emphasized that if the corporations paid taxes as per their assessments, the tax department should not pursue the petitioner under Section 201(1) of the Income Tax Act. Referring to Circular No.275/201/95-IT(B), the court held that demands should not be enforced if taxes were paid by the deductee. The court directed the tax authority to promptly review the appeal and lift the demands and account attachment if the corporations had indeed paid the taxes, ensuring compliance with the law. en-us Mon, 15 Feb 2016 00:00:00 +0530 Sat, 18 Jun 2016 10:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=325062 The High Court ruled in a case involving a State Government department failing to deduct income tax on payments to government corporations. The court emphasized that if the corporations paid taxes as per their assessments, the tax department should not pursue the petitioner under Section 201(1) of the Income Tax Act. Referring to Circular No.275/201/95-IT(B), the court held that demands should not be enforced if taxes were paid by the deductee. The court directed the tax authority to promptly review the appeal and lift the demands and account attachment if the corporations had indeed paid the taxes, ensuring compliance with the law. Case-Laws Income Tax Mon, 15 Feb 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=325062