Held that the assessee-company is unable to establish on the basis of any evidence that the disputed loans received in cash were even genuine loan transactions. Violations of section\u00a0269SS\u00a0and section\u00a0269T\u00a0of the Act, which deal with the modes of accepting certain loans deposits and specified sums, and the modes of repayment of certain loans for deposits, respectively, are not to be examined from the perspective of the person who has given the loan or to whom the loan was returned but from the perspective of the recipient of the loan. Thus, the innocence pleaded on account of ignorance of law of directors who claimed to be non-resident was insignificant. There was no question of any benefit to the assessee-company on the basis of claim of bona fides of the directors. The provisions of sections\u00a0269SS\u00a0and\u00a0269T\u00a0of the Act imposed a statutory liability and could not be said to held to be mere technical violation in the case of companies. Penalty is confirmed. (AY.2002-03)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 271D : Penalty-Takes or accepts any loan or deposit-Ignorance of law and bona fides-Non-Resident directors not material-Not mere technical violation in case of companies-Levy of penalty Justified. [S.269SS, 269T, 271E]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-45088","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-bJe","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45088","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=45088"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45088\/revisions"}],"predecessor-version":[{"id":45089,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45088\/revisions\/45089"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=45088"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=45088"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=45088"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}