No Penalty for Short-Deduction of TDS due to bonafide confusion

Shapoorji Pallonji and Co.(P) Ltd. Vs. J.C.I.T. (TDS) (ITAT Kolkata) In the present case there was only a short deduction of tax at source and it was not a case of non deduction of tax at source. It is also seen that the short deduction of tax at source was due to a wrong nomenclature under which the accounts department classified the payment for professional services as payment made to a contractor for carrying out any work. When the mistake was pointed out, the assessee accepted the mistake to the extent that the stand taken by the revenue is correct and immediately paid the tax that was not...