https://www.taxtmi.com/highlights?id=83483 Section 179 of the Income Tax Act empowers tax authorities to recover outstanding dues from directors of private companies during the relevant previous year. The latter part casts a negative onus on directors to prove non-recovery was not due to gross neglect, misfeasance, or breach of duty. In this case, the company was incorporated as a public limited company, and the revenue authorities failed to dispute this status while initiating proceedings u/s 179. Consequently, the High Court held that Section 179 is inapplicable to public limited companies, and the writ petition was allowed. en-us Fri, 29 Nov 2024 08:16:53 +0530 Fri, 29 Nov 2024 08:16:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=83483 Section 179 of the Income Tax Act empowers tax authorities to recover outstanding dues from directors of private companies during the relevant previous year. The latter part casts a negative onus on directors to prove non-recovery was not due to gross neglect, misfeasance, or breach of duty. In this case, the company was incorporated as a public limited company, and the revenue authorities failed to dispute this status while initiating proceedings u/s 179. Consequently, the High Court held that Section 179 is inapplicable to public limited companies, and the writ petition was allowed. Highlights Income Tax Fri, 29 Nov 2024 08:16:53 +0530 https://www.taxtmi.com/highlights?id=83483