In Brief
Prashanti Medical Services sought a tax deduction under Section 35AC of the Income Tax Act, 1961 for amounts paid to eligible projects. The appellant challenged the retrospective application of subsection (7), arguing hardship. The Supreme Court dismissed the appeal, holding that in taxation law, pleas based on equity or hardship are not legally sustainable. Tax provisions must be applied as written, and constitutional validity of taxing statutes cannot be undermined by hardship arguments. The High Court's decision upholding the revenue's position was affirmed."
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