Mere failure to pay tax will not constitute offence under Section 276C(2)

S.P. Velayutham Vs ACIT (Madras High Court)

Mere failure to pay the tax in time without any intention or deliberate attempt to avoid tax in totality or without any mens rea to avoid the payment, the word employed ‘wilful attempt’ cannot be inferred merely on failure to pay tax in time. If the intention of the assessee to evade the payment of tax was present from the very inception, he would not have made further payments. The statements filed by the Department would also indicate that he was continuous

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