Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2009 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (12) TMI 685 - AT - Income TaxTDS - applicability of section 40(a)( ia) of the Income-tax Act - assessee had claimed an expenditure on account of transportation charges and had not deducted tax at source - Assessing Officer considered the payments to each one of them as payments to the transporters probably in view of the fact that the names of the truck/vehicle owners were listed in the column "name of the transporter" and therefore, came to the conclusion that these payments were to the transporters and as a result of contract/sub-contract. He, therefore, invoked the provisions of section 40(a)(ia ) of the Act, because the payments to each one of the persons listed in the list were more than Rs. 50,000 and the assessee has not deducted tax at source - Assessing Officer disallowed the assessee’s claim of expenditure on account of transporting charges – Held that:- hiring of trucks from 106 parties and payments of freight or hiring of charges to them was not in consequence upon any written or oral agreement - when hiring of trucks and payment thereof was not in consequence upon any written or oral agreement, the natural outcome is that the provisions of section 194C, not applicable - assessee’s case was not hit by the provisions of section 40(a)(ia ) of the Act – in favor of assessee
|