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2010 (2) TMI 917 - ITAT, BANGALORENon-deduction of TDS on commission payment - assessee's explanation before AO was that it had marketing arrangements with M/s Fab Mall to sell its products. Fab Mall paid for the supplies made to them after deducting the commission. Since amounts were already deducted, there was no scope for the assessee to deduct or recover any tax on such commission – Held that:- Mere journal entries were passed crediting lump sum amounts by way of sales commission at the end of each month or, in some cases, at the end of several months put together, no evidence of any significance has been led in by the assessee, to show that the transfer of goods to Fab Mall constituted a contract of sale. The assessee has failed to prove that his relationship with Fab Mall is on a principal to principal basis. There has been a mere assertion without any evidence on the part of the assessee. The extract of Fab Mall's account in assessee's books also revealed that assessee is meeting electricity charges pertaining to its outlets within the Fab Mall's stores and as rightly pointed out by CIT(A), this would certainly not be the case if the title of the goods were being transferred in a contract for sale - order of CIT(A) is correct and in accordance with law and no interference is called for, appeals filed by the assessee are dismissed
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