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2015 (6) TMI 181 - HC - Income TaxTDS u/s 194C- non-filing of Form No.15-I/J within the prescribed time - payments made to sub-contractors towards freight charges - Default of provisions of Section 40(a)(ia) - Held that:- Once, the declaration forms are filed by the sub- contractor, the liability of the assessee to deduct tax on the payments made to the sub-contractor would not arise . As we have examined, the sub-contractors have filed Form No.15I before the assessee. Such being the case, the assessee is not required to deduct tax under Section 194C(3) of the Act and to file Form No.15J. It is only a technical defect as pointed out by the Tribunal in not filing Form No.15J by the assessee. See Valibhai Khandbai Mankad’s case (2011 (4) TMI 887 - ITAT, AHMEDABAD ) upheld by the High Court of Gujarat reported in (2012 (12) TMI 413 - GUJARAT HIGH COURT) wherein it is held that once the Conditions of Section 194C(3) were satisfied, the liability of the payee to deduct tax at source would cease and accordingly, application of Section 40(a)(ia) would also not arise. - Decided in favour of assesse.
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