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2014 (6) TMI 497 - AT - Income TaxTDS u/s 194I - nature of payment - renting or acquiring of lease hold rights - Construction of the hotel beyond the specified period payment of additional lease premium due to extension of lease period for construction - distinction between payments on revenue or capital account - Held that:- The payment made for an extension of time for the construction of the hotel beyond the period as originally specified in the lease deed - this does not lead to acquisition of any lease-hold rights, or any capital asset for that matter, by the assessee and would not qualify as additional lease premium - there could be no doubt that the sum is not in the nature of rent - also not covered by any other tax deduction provision, being only by way of modification in the terms of the original deed, so that it could be said to be in the nature of a charge or fee paid under the lease agreement for extension of time revenue could not controvert it in any manner thus, it cannot be said to be not in the nature of rent and not exigible to deduction of tax at source u/s 194I Decided against Revenue.
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