https://www.taxtmi.com/caselaws?id=24979 The court held that directors of a private company are liable for tax dues from April 1, 1962, onwards under section 179 of the Income-tax Act, 1961. The liability extends to penalty, interest, and recovery charges. Directors are jointly and severally liable if the company cannot pay. The burden of proof lies on directors to show they are not grossly negligent. The respondent's failure to pay taxes constituted a breach of duty, making him liable. The appeal was allowed, and the respondent was ordered to pay costs. en-us Wed, 11 Nov 1987 00:00:00 +0530 Sat, 23 Jan 2010 15:29:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=24979 The court held that directors of a private company are liable for tax dues from April 1, 1962, onwards under section 179 of the Income-tax Act, 1961. The liability extends to penalty, interest, and recovery charges. Directors are jointly and severally liable if the company cannot pay. The burden of proof lies on directors to show they are not grossly negligent. The respondent's failure to pay taxes constituted a breach of duty, making him liable. The appeal was allowed, and the respondent was ordered to pay costs. Case-Laws Income Tax Wed, 11 Nov 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=24979