Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2016 (10) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (10) TMI 51 - HC - Income TaxReopening of assessment - Disallowance u/s 40(a)(ia) - late deposit of TDS - Held that:- We have noticed in the order of assessment, to the extent the Assessing Officer wanted to, disallowed the expenditure on the assessee's failure to deposit the tax deducted at source. He, however, did not disturb the assessee's claim of expenditure of foreign commission though apparently no tax was deducted at source on such commission. Only on this ground, the notice must fail. Prima-facie, we also feel the requirement of deducting tax at source itself in the present case is hugely doubtful. There is nothing on record to suggest that the foreign agents had any establishment in India or in any manner the income accrued or arose in India. Even when the petitioner raised such an objection before the Assessing Officer, he rejected the objection without dealing with the specific contention. Be that as it may, on the question of change of opinion, we are convinced that impugned notice cannot survive. The same is, therefore, set aside. Petition is allowed and disposed of.
|