Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (3) TMI 130 - AT - Income TaxDisallowance on account of payment of commission for obtaining supply order from government agencies - assessee had shown commission expenditure to only increase expenditure for reducing the actual profit of the assessee & it is not allowable as per Income-tax Act - CIT-A deleted the addition - HELD THAT:- AO has disallowed the deduction with the reasoning that there cannot be any middleman for procurement of orders for Govt. supply. But the Ld. AO has not considered the factual submissions made by assessee. The assessee has submitted complete details including PANs of the agents to whom the commission was paid, the supporting vouchers and account confirmations to the Ld. AO and also filed the copies of the same in the Paper-Book. The assessee has also deducted TDS wherever applicable. The assessee has also submitted a detailed note on various tasks done by the commission agents and those tasks are clearly narrated by Ld. CIT(A) also in his order. CIT(A) has considered all facts in detail and being satisfied, deleted the disallowance made by Ld. AO. We do not find any infirmity in the order of Ld. CIT(A). - Decided in favour of assessee.
|