Description:
Penalty Under Section 271D––Issues Regarding–Kedar Nath Bohra
Section 269SS.
In Bhikhabhai Dhanjibhai patel v. Asstt.CIT (2010) 32 (II) ITCL 58 (Ahd ‘A’ – Trib) : (2010) 127 TTJ (Ahd ‘A’-Trib) 479, ‘P’ paid Rs. 8 lakhs. The revenue authorities levied penalty under sections 271D and 271E.
It was held that on facts, the amount contributed was neither a loan nor deposit and as no interest was paid, the nomenclature of the same in the balance sheet could not be said to be conclusive.
Source:
1. www.tpcc.in
2. The Tax Referencer .Volume121. Issue No.6, 10.Oct, 2011, Page No.48.
Our Comment:
As long the receipt is not a loan/ deposit the provisions of U/s 269SS are not applicable, hence penalty U/s 271D
