§ 518
Chapter XXIII — Miscellaneous
Indemnity
Income-tax Act, 2025
Anyone who deducts, retains or pays tax on behalf of another person under the Income‑Tax Act is protected against personal loss for that amount. The law ensures they are indemnified for the tax they handle and may be granted immunity from prosecution for carrying out the duty.
📜 Official text of the section +
518. Every person deducting, retaining, or paying any tax in pursuance of this Act
in respect of an income belonging to another person shall be indemnified for
the deduction, retention, or payment thereof.
Power to tender immunity from prosecution.
Plain-language summary — not the official text. Refer to the bare Act and confirm with a professional for your specific case.
Related sections
§ 499Certain transfers to be void§ 500Provisional attachment to protect revenue in certain cases§ 501Director or Director. Service of notice, generally§ 502Authentication of notices and other documents§ 503Service of notice when family is disrupted or firm etc., is dissolved§ 504Service of notice in case of discontinued business