Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2013 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (1) TMI 567 - AT - Income TaxNon deduction of TDS u/s 194C - hiring of lorry for carrying the goods - Held that:- The legislature with effect from 01-04-1995 inserted Explanation 4(c) to Section 194C to include the term "work" - carriage of goods or passengers by any mode of transport other than by railways. Therefore, the contract shall be for carriage of goods or passengers other by railway. As in the present case, admittedly, the carriage of goods was not entrusted with the lorry/truck owners from whom the taxpayer has hired the lorries/trucks or with the taxpayer himself. Admittedly the responsibility of carriage of goods remains with M/s Logos Logistics Pvt Ltd. No work of carriage of goods was entrusted either with the taxpayer or with the lorry/truck owners from whom the taxpayer hired the lorries/trucks. Therefore, there is no contract for carriage of goods between the taxpayer and the lorry/truck owners from whom the trucks/lorries were hired. As such provisions of section 194C are not applicable to this transaction. See Mythri Transport Corpn. case (2009 (1) TMI 337 - ITAT VISAKHAPATNAM), Cochin Goods Transport Association (1998 (10) TMI 68 - KERALA HIGH COURT) & Associated Cement Co. Ltd. v. CIT [1993 (3) TMI 1 - SUPREME COURT] Moreover, the taxpayer has admittedly paid hire charges to lorry owners. Thus as decided in Merlyn Shipping & Transporters v. Asstt. CIT [2012 (4) TMI 290 - ITAT VISAKHAPATNAM ] in respect of amount paid on or before the last day of the financial year and it was held that the amount which was already paid cannot be a subject matter of deduction u/s 40a(ia) - in favour of assessee
|