Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2014 (4) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (4) TMI 235 - HC - Income TaxDisallowance u/s 40(a)(ia) of the Act - Reimbursement of CHA charges paid to C & F agent – Held that:- The Tribunal was of the view that the expenses were incurred by the agent on behalf of the assessee for transportation and other charges, which has been spelt out in the bill itself including the commission to the agent - the relation between the assessee and the agent is principal and agent - so far as the obligation to deduct tax at source from the payment of transport charges and other charges is concerned, the same was complied with by the agent, who had made payment on its behalf - the circular relied upon by the Revenue that it is the liability of the assessee as principal agent to deduct the TDS will not be applicable and the circular would be applicable for payment made to principal to principal – thus, the order of the Tribunal in setting aside the order in deleting the disallowance – there is no need for the interference in the decision of the Tribunal – Decided against Revenue.
|