2020 (10) TMI 462 - GUJARAT HIGH COURT - Income Tax

Head Note / Extract:
TDS u/s 195 - disallowance u/s. 40(a)(i) of the Act for non deduction of tax on commission payable to foreign agents - Disallowance of commission to foreign agents assessee was unable to lead evidence to prove the factum of actual rendering of services by such recipients - HELD THAT:- As decided in own case [2019 (7) TMI 613 - GUJARAT HIGH COURT] the questions of law as proposed by the revenue has no longer integreta in view of the decision of this Court in the case PR CIT Vs. MGM Exports [2018 (5) TMI 1240 - GUJARAT HIGH COURT] which has been applied saying that a person paying interest or any other sum to a non resident is not liable to deduct tax if such sum is not chargeable to tax under the Act. Tribunal had not erred in law and on facts in upholding the order of the CIT(A) deleting the addition - Decided in favour of assessee.