A special court for economic offences has convicted the managing director of an infrastructure company for not remitting Tax Deducted at Source (TDS).
A media release from the Income Tax department did not reveal the name of the firm and its managing director. The release said the firm had deducted TDS amount of Rs 60.78 lakh from its customers but did not deposit it to the government account within the stipulated time as prescribed in Rule 30 of IT Rules.
The special court for economic offences had passed the order on August 3, 2017. The court held that the convict had committed an offence punishable under section 276B of the Income Tax Act and sentenced the managing director to rigorous imprisonment for a period of three months and also slapped a fine of Rs 5,000 on him.
The Income Tax department said that several such cases of non-deduction of taxes and non-remittance to the government account are pending before the court. “The Income Tax department has initiated an aggressive drive to detect cases where income tax is deducted but not paid into the government account within the due dates.’’
The department has conducted 161 surveys and spot verification and has detected violation of TDS provisions amounting to Rs 109.51 crore.
DH News Service
Deccan Herald is on WhatsApp Channels | Join now for Breaking News & Editor's Picks