No penalty u/s 271C for not deducting TDS on Foreign Remittances

Isys Softech Pvt. Ltd. Vs ITO (ITAT Jaipur) Conclusion: Since assessee had deliberately not avoided TDS and there was no contumacious conduct on the part of the assessee, therefore, penalty was not leviable for not deducting TDS on foreign remittances.  Held: During scrutiny proceedings, it was found that in the P & L account assessee company had debited an amount of Rs. 1,14,68,382/- under the head ‘Software License and Set-up charges’ which was credited to M/s BJW consulting Service LLC and Practice forces – Anesthesia Billing software. Assessee company had not deduct ...