Madras HC dismisses Writ Petitions, maintaining statutory mandate of Section 194N

S.161 Podaturpet Venkateswara Primary Agricultural Co-operative Credit Society Ltd. Vs ITO (Madras High Court) In a recent judgment, the Madras High Court dismissed a batch of writ petitions filed by Primary Agricultural Co-operative Credit Societies, challenging the circular dated March 2021 issued by District Central Cooperative Banks in various districts of Tamil Nadu. The circular pertained to the statutory mandate of Section 194N of the Income Tax Act, 1961, which mandates a deduction of 2% on cash withdrawals. The petitioners, primarily functioning as intermediaries between banks and agr...