https://www.taxtmi.com/caselaws?id=24960 Section 140A(3) of the Income-tax Act, which imposes a penalty for failure to pay self-assessment tax with the return, was treated as a compliance measure linked to the self-assessment scheme. The Court accepted that the levy operates in the nature of additional tax, bears a rational nexus to tax recovery, and is not confiscatory or unreasonable. The explanation for non-payment was not accepted on the facts, and the constitutional challenge therefore failed. The provision was held constitutionally valid, leaving the penalty mechanism operative and enforceable. en-us Wed, 09 Dec 1987 00:00:00 +0530 Mon, 12 Jun 2017 10:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24960 Section 140A(3) of the Income-tax Act, which imposes a penalty for failure to pay self-assessment tax with the return, was treated as a compliance measure linked to the self-assessment scheme. The Court accepted that the levy operates in the nature of additional tax, bears a rational nexus to tax recovery, and is not confiscatory or unreasonable. The explanation for non-payment was not accepted on the facts, and the constitutional challenge therefore failed. The provision was held constitutionally valid, leaving the penalty mechanism operative and enforceable. Case-Laws Income Tax Wed, 09 Dec 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24960