TIOL-DDT 1182 · Tuesday, 25 August 2009 · story 3 of 4
Income Tax – Penalty - The penalty under Section 271 (c) is a civil liability. Wilful concealment is not an essential ingredient for attracting civil liability - Supreme Court
By Vijay Kumar
The Supreme Court of India judgement in the Dhramendra case was most misunderstood and the Apex Court clarified its judgement in the Rajasthan Spinning & Weaving Mills case. When penalty is intended to be a remedy for loss of revenue, there is no need for mens rea .
The Supreme Court delivered yet another judgement on this issue yesterday and keeping in tune with TIOL traditions we bring you yesterday's judgement today.