Every individual or entity whose income exceeds the prescribed exemption limit must file an income tax
return under Section 139. Non-compliance attracts penalties under Sections 234F and 271F, and may also
result in prosecution under Section 276CC.

Businesses legally avoid taxes by claiming deductions, using tax credits, and writing off depreciation to reduce taxable income.
They may also shift profits to subsidiaries in low-tax countries or defer income to future years.
Incorporating in tax-friendly jurisdictions is another common method.
These practices are legal and fall under tax avoidance, not evasion.

If AI causes harm, liability typically cannot fall on the software itself, as it lacks intent or consciousness. Responsibility may instead rest with the **developer** (for design flaws), **deployer** (for misuse or negligence), or **data provider** (for biased or faulty input). The specific context and degree of control each party has over the AI system determine legal accountability. Thus, traditional liability models must adapt to address the complex, shared responsibilities in AI decision-making.