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2008 (7) TMI 398 - HC - Income TaxApplicability of section 194A – status of assessee – AO found that the amounts being credited to the account of the ex-employees after cessation of employment had the character of interest and as such, according to the Assessing Officer, the assessee was required to deduct tax at source under section 194A. The assessee having failed to do so was treated as being in default - Tribunal came to a correct conclusion, firstly, that before it could be determined as to whether the respondent-assessee was required to deduct tax at source under section 194A, its status had to be determined, and, secondly, since status of assessee was that of an individual, the provisions of section 194A could not be applicable to the respondent-assessee. – Held that assessee cannot be treated as defaulter u/s 194A
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