An appeal has been filed by the assessee against impugned order passed by CIT(A), Tribunal held that in relation to the penalty proceedings u/s 271C it is evident that the payments have been made by the assessee to HUDA which is an authority of Haryana Government created by enactment of Legislature for carrying out developmental activities in the state of Haryana. Such Authorities admittedly are not in the category of local authority or Government. Further, prior to issue of CBDT Circular dated 23.12.2017, there was no clarity as regard the deduction of tax on these payments. Therefore, the assessee was under a bonafide belief that no tax is required to be deducted at source on such payments. In case even if tax was required to be deducted on such payment but not deducted under a bonafide belief then no penalty shall be leviable under section 271C of the Act as there was no contumacious conduct by the assessee.  (AY. 2017-18)