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2021 (1) TMI 289 - AT - Income TaxRectification u/s 254 - Period of limitation - condone delay in filing of miscellaneous petition - TDS u/s 194C - HELD THAT:- No power vested with Tribunal to condone delay in filing of miscellaneous petition u/s 254(2) of the 1961 Act. Hence, we are bound by provisions of the 1961 Act and we are afraid that this MA filed by assessee in the instant case is barred by limitation and is to be dismissed on that short ground itself. For the sake of completeness and also that the assessee has invoked cause of substantial justice and that act of court should not prejudice anyone, we are going ahead to see whether even otherwise there is any merit in this MA. As observed that even otherwise, on merits of the miscellaneous petition Tribunal has passed a well-reasoned appellate order dated 08th June 2016 , whereby the Tribunal has elaborately discussed the contentions of the assessee and arrived at well reasoned conclusion/ decision in its appellate order. The assessee has purchased raw material on FOR basis from suppliers namely M/s. Pioneers Wires Private Limited and M/s. Saudagar Mal Mamman Lal Private Limited, and hence accordingly transportation of raw material purchased from the factory of the supplier to the assessee’s place of business is obviously liability of the assessee and are to be borne by the assessee. The assessee has itself admittedly and rightly booked transportation/freight charges under the head ‘transportation charges’ in its books of accounts , instead of debiting the same to purchase of material. Thus, contention of the assessee that said freight /transportation charges are part of purchase cost are devoid of any merit and the tribunal rightly held that assessee was liable to deduct income tax at source u/s 194C of the 1961 Act, which assessee in the instant case failed to do. The tribunal, keeping in view and after considering the amended provisions of Section 40(i)(ia) as amended by Finance Act, 2012, wherein second proviso was inserted, took a well reasoned and conscious decision of setting aside the matter to the file of the AO for verification as to whether the payee of the transportation charges has duly paid income-tax on the said income and to grant relief if the assessee is able to demonstrate that the payee has duly paid income tax on the said receipt. No mistake which is apparent from record in the well-reasoned order passed by the Tribunal and thus both on merits as well as on legal grounds, the contentions of the assessee cannot be accepted and hence this MA stands dismissed.
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