https://www.taxtmi.com/caselaws?id=39052 The Andhra Pradesh High Court upheld the constitutional validity of Section 140A(3) of the Income-tax Act, 1961, ruling that it is not confiscatory and serves the purpose of ensuring compliance with tax payment obligations under Section 140A(1). The Court emphasized the discretionary nature of penalties imposed by the Income-tax Officer and highlighted that such penalties aim to deter tax evasion rather than punish offenders. The Court found that the provision is a reasonable restriction on the right to hold property and dismissed the writ petitions challenging the penalty provision. en-us Wed, 10 Dec 1975 00:00:00 +0530 Mon, 12 Apr 2010 12:13:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39052 The Andhra Pradesh High Court upheld the constitutional validity of Section 140A(3) of the Income-tax Act, 1961, ruling that it is not confiscatory and serves the purpose of ensuring compliance with tax payment obligations under Section 140A(1). The Court emphasized the discretionary nature of penalties imposed by the Income-tax Officer and highlighted that such penalties aim to deter tax evasion rather than punish offenders. The Court found that the provision is a reasonable restriction on the right to hold property and dismissed the writ petitions challenging the penalty provision. Case-Laws Income Tax Wed, 10 Dec 1975 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39052