https://www.taxtmi.com/caselaws?id=14938 Prosecution of directors for failure to deduct or remit tax deducted at source under section 276B requires notice under section 2(35)(b) before treating them as principal officers where that determination is required. Delayed remittance does not attract penal liability where the prosecution fails to prove beyond reasonable doubt that it occurred without reasonable cause or excuse; persistent losses, financial stringency and carry-forward deficits may support reasonable cause. Cheating or attempted cheating requires evidence of dishonest inducement, which is absent where the allegation is vague and the creditor has assessed and paid tax on the income. Authorisation for prosecution remains valid if duly issued with application of mind. en-us Mon, 20 Jul 1998 00:00:00 +0530 Mon, 27 Jul 2009 12:06:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=14938 Prosecution of directors for failure to deduct or remit tax deducted at source under section 276B requires notice under section 2(35)(b) before treating them as principal officers where that determination is required. Delayed remittance does not attract penal liability where the prosecution fails to prove beyond reasonable doubt that it occurred without reasonable cause or excuse; persistent losses, financial stringency and carry-forward deficits may support reasonable cause. Cheating or attempted cheating requires evidence of dishonest inducement, which is absent where the allegation is vague and the creditor has assessed and paid tax on the income. Authorisation for prosecution remains valid if duly issued with application of mind. Case-Laws Income Tax Mon, 20 Jul 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=14938