https://www.taxtmi.com/caselaws?id=17358 Damages levied for default in provident fund contributions may have a dual character, being partly compensatory and partly penal depending on the statutory setting and facts of imposition. Deduction under the Income-tax Act is available only to the extent the levy is found to be compensatory, while the penal portion is not deductible. Where the record does not clearly separate the two elements, the claim cannot be finally determined without fresh factual apportionment after hearing the parties. en-us Wed, 14 May 1997 00:00:00 +0530 Mon, 21 Sep 2009 17:39:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17358 Damages levied for default in provident fund contributions may have a dual character, being partly compensatory and partly penal depending on the statutory setting and facts of imposition. Deduction under the Income-tax Act is available only to the extent the levy is found to be compensatory, while the penal portion is not deductible. Where the record does not clearly separate the two elements, the claim cannot be finally determined without fresh factual apportionment after hearing the parties. Case-Laws Income Tax Wed, 14 May 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17358