AP HC Quashes TDS Prosecution for Belated Deposit as reasonable cause exist

Aditya Institute of Technology And Management Vs State of Andhra Pradesh and Others (Andhra Pradesh High Court) Introduction: In a notable ruling, the Andhra Pradesh High Court has quashed the criminal proceedings against the Aditya Institute of Technology and Management (AITM) regarding the belated deposit of Tax Deducted at Source (TDS). This decision was made under Section 276B of the Income Tax Act, 1961, which pertains to the failure to deposit TDS within the stipulated timeframe. The court’s decision was influenced by the reasonable cause provision under Section 278AA, providing relief...