Madras HC Orders Income Tax Department to Refund Excess Recovery Beyond 20%

Southern Explosives Company P. Ltd. Vs PCIT (Madras High Court) Introduction: In a significant ruling, the Madras High Court has addressed the issue of excessive tax collection by the Income Tax Department. The case in contention is between Southern Explosives Company P. Ltd. and the Principal Commissioner of Income Tax, Chennai. Analysis: The petitioner, Southern Explosives Company P. Ltd., challenged the proceedings from the Income Tax Department dated 11.01.2022, urging the court to annul them and instruct the respondents to return the amount they had collected exceeding the 20% limit. The ...