Quiz for the week (14 Sep 2026) :
Aadya LLP filed its ITR which was processed under section 143(1) with certain disallowance of expenses. There was a tax demand with interest under sections 234B and 234C. The demand was unpaid for long time and subsequently, it was paid. The Assessing Officer levied penalty under section 221 even though the arrear demand was paid voluntarily before levy of such penalty. Is the levy of penalty justified? Also, the penalty included the entire tax demand under section 156 consisting of interest under sections 234B and 234C. Is the action of Revenue tenable in law?
Share your thoughts on or before 21.09.2026.