Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (6) TMI 778 - AT - Income TaxTDS deducted u/s 194J instead u/s 192 of the Act – Doctors treated as consultants – Assessee in default u/s 201(1) and 201(1A) of the Act - Held that:- Following ACIT, Cir-15(2), Hyderabad Versus M/s. Yashoda Super Speciality. Hospital, Hyderabad [ 2010 (6) TMI 642 - ITAT HYDERABAD] - the agreement between the assessee and the Doctors is one for providing professional services, and there is no element of employer and employee relationship existing - tax has to be deducted u/s 194J as fee for professional services and not as salary - the relationship between a hospital and its employee depend on the terms of contract between them - for the purpose of treating Doctors as employees not only they should be given specific assignment but there should be specific working hours, rules and regulations and they should be on the rolls for PF and they should be given leave as per the statutory provisions besides gratuity etc. - there is nothing on record to suggest that full time consultant Doctors are either provided with specific working hours or subject to any rules and regulations - there is no employer and employee relationship between the hospital and the consultant Doctors, at least the facts on record do not establish any such relationship, it cannot be said that fees paid to full time consultant Doctors are in the nature of salary - subject to deduction of tax at source as per the provisions of section 192 of the Act – thus, the order of the CIT(A) is set aside - Decided in favour of Assessee.
|