Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (3) TMI 341 - AT - Income TaxCollection of tax at source u/s 206C - Interpretation of Bagasses as per section 206(C) - Whteher Bagasses is covered under the definition of scraps as per section 206(C) and assessee liable to collect tax at source - Held that:- No doubt, the Inspecting Officer during the course of inspection has noticed that there are some discrepancies in collecting tax at source u/s 206C of the Act ( sale of Molasses & Bagasses) and the AO called the explanation from the assessee . The assessee i.e. Person Responsible for deducting tax at source has given his explanation that Molasses and Bagasse and Bagasse generated during the manufacturing process could not be termed as scrap for the purpose of section 206C since it is a by-product of the process of manufacture. Therefore, Molasses and Bagasses are different from scrap and did not fall within the definition of scrap as per Explanation (b) to Section 206C of the Act - Decided against Revenue.
|