The ITAT set aside penalties imposed on the appellant under ...

Penalties for Delayed TDS Remittance and Returns Set Aside Following Supreme Court's US Technologies Interpretation

March 11, 2025

Case Laws Income Tax AT

The ITAT set aside penalties imposed on the appellant under sections 271C and 272A(2)(g) of the Income Tax Act. Following the Supreme Court's decision in US Technologies (2023), the Tribunal held that section 271C penalties apply only to failure to deduct tax at source, not to delayed remittance of TDS already deducted. The SC had noted that penalty provisions must be interpreted strictly, with CBDT Circular No.551 confirming this position. Regarding penalties under section 272A(2)(g) for delayed filing of TDS returns, the Tribunal found these were incorrectly imposed as section 271H was the applicable provision during the relevant period. The appeal was allowed and all penalties were set aside.

View Source

← Previous Next →

The ITAT set aside penalties imposed on the appellant under ...

Penalties for Delayed TDS Remittance and Returns Set Aside Following Supreme Court's US Technologies Interpretation

March 11, 2025

Case Laws Income Tax AT

You may also like:

Penalty levied u/s 272A(2)(k) – delayed filing of e-TDS returns- AT

Levying penalty u/s 272A(2)(k) for late filing of TDS returns - the ‘Person Responsible’ had a bonafide reason for the delay in filing TDS returns - No penalty.

Penalty u/s 271C - assessee did not remit the TDS on the due date - Only because of these hardships there was delay in remitting the TDS. Therefore, there is reasonable...

Service tax demand on Goods Transport Agency (GTA) services rendered on reverse charge basis set aside as appellant did not collect service tax from service recipient....

Delay in filing the TDS returns - Penalty u/s. 271F - delay in remitting the TDS amounts to the Government account and consequential delay in filing the returns -...

Levy of penalty u/s 221 - Delay in the remittance of TDS to the Government (TDS) Account - the explanation of the assessee that on account of cash crunch, remittance of...

Penalty for non deduction of tax at source - bona fide belief proved - penalty set aside - AT

Levy of penalty u/s. 272A(2)(k) - belated filing of TDS returns u/s. 200(3) r.w.r. 31A - there is reasonable cause in not filing its TDS returns within prescribed time -...

Delay in filing of of eTDS return - Penalty U/s.272A(2)(k) - There is reasonable cause for delay in filing ETDS return U/s 273B - levy of penalty cancelled - AT

Penalty proceedings u/s 271(1)(c) - Assessee company failed to provide bonafide explanation for inflated expenses claimed in revised return, contrary to audited...

Penalty u/s 272A(2)(k) - delay in filing of quarterly TDS returns in form no. 24Q beyond time prescribed by statute - reasonable cause for the delay - inconvenience in...

Levy penalty u/s 272A(2)(K) - delay in submitted e-TDS returns - the fact that there were large number of deductees spread throughout the country and efforts were made...

Return uploaded with a delay of 21 seconds - delay of few seconds only - The defence is that there is nothing wrong in the rejection of the return, since the software is...

The High Court rejected the condonation of delay in filing income tax returns, as the returns were handled by a Chartered Accountant who could not take timely steps due...

Penalty u/s 272A(2)(K) - late filing of e-TDS return - due to software installed by revenue for e-filing of TDS returns, initial technological glitches has caused delay...

Quick Updates: