Case Law Details
Jak Communications Private Limited Vs Chief Commissioner of Income Tax (TDS) (Madras High Court)
Madras High Court held that there is no limitation prescribed for compounding of the offences committed by an assessee u/s. 279(2). Thus, there cannot be any restriction/limitation for filing application for compounding of offence contrary to Section 279(2) of the IT Act, 1961.
Facts- The petitioner is aggrieved by the impugned Common Order via which the applications filed by the petitioner and its Directors to compound the offence committed by them for failure to pay the Tax Deducted at Source (TDS) for the Assessment Year 2013-2014 and the Assessment Year 2014-2015 respectively has been rejected by the first respondent.
Conclusion- Held that there cannot be any restriction/limitation for filing application for compounding of offence contrary to Section 279(2) of the IT Act, 1961. There is also no useful purpose in prosecuting an assessee who may otherwise deserve to compound the offence. This is also not a case where the petitioner has been convicted of the offence in E.O.C.C.Nos.193 and 194 of 2018 and had filed the applications for compounding of the offence thereafter u/s. 279(2) of the IT Act, 1961.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
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