Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2017 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (10) TMI 1564 - ITAT MUMBAITDS u/s 194H - Failure to deduct tax at source from commission paid to banks for providing credit cards services - addition u/s. 40a(ia) - HELD THAT:- As decided in JDS APPARELS PRIVATE LIMITED [2014 (11) TMI 732 - DELHI HIGH COURT] payment of commission to banks with regard to the processing of credit card transactions was not liable to be considered as a ‘commission’ within the meaning of section 194H. The bank does not act as an agent of the assessee while processing the credit card payments and a charge collected by the bank for such service does not amount to ‘commission’ within the meaning of section 194H. Thus the impugned disallowance made by the AO by invoking section 40(a)(ia) is unsustainable. - Decided in favour of assessee.
|