https://www.taxtmi.com/caselaws?id=371350 The Tribunal upheld the CIT(A)'s decision to impose a penalty of Rs. 10,58,313 under section 271C for failure to deduct TDS. The appellant's argument of ongoing litigation and bonafide belief was not accepted, emphasizing that penalty under section 271C is applicable in the absence of a reasonable cause for non-deduction of TDS. Despite the appellant being a sick company and adding back amounts without deduction of tax, the Tribunal affirmed the penalty, stating that failure to deduct tax at source attracts penalty under the section, regardless of a bonafide belief. The appeal was dismissed, and the penalty was upheld. en-us Thu, 29 Nov 2018 00:00:00 +0530 Mon, 03 Dec 2018 09:06:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=371350 The Tribunal upheld the CIT(A)'s decision to impose a penalty of Rs. 10,58,313 under section 271C for failure to deduct TDS. The appellant's argument of ongoing litigation and bonafide belief was not accepted, emphasizing that penalty under section 271C is applicable in the absence of a reasonable cause for non-deduction of TDS. Despite the appellant being a sick company and adding back amounts without deduction of tax, the Tribunal affirmed the penalty, stating that failure to deduct tax at source attracts penalty under the section, regardless of a bonafide belief. The appeal was dismissed, and the penalty was upheld. Case-Laws Income Tax Thu, 29 Nov 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=371350