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2022 (7) TMI 595 - ITAT COCHINTDS u/s 194C - advertisement charges paid to media - Default u/s 201(1) - as argued appellant is not liable to Deduct Tax at Source in respect of the payment of advertisement charges paid to the media directly and not through contractors - HELD THAT:- As per Section 194C(5) the twin conditions must be satisfied, i.e. the payment should exceed Rs.30,000/- and the aggregate payment should be more than Rs1,00,000/- in a year to one recipient. But in the case before us there are some payments made to the parties which are less than Rs.1,00,000/-. Therefore in this case TDS provision will not be applied as the total payment is below Rs.1,00,000/- during the year to a single party. As per proviso of Section 201(1) of the Act if the recipient pays the tax on the amount received from the assessee the assessee will not be treated as an assessee in default,if the recipients have complied as per the proviso of Section 201(1) of the Act then the assessee shall not be treated as an assessee in default. As per the documents available before us, there no any such proof submitted by the assessee for complying the proviso of Section 201(1) of the Act. Therefore,we consider it fit to send back the matter to the file of the AO for ve rification if the recipients have fulfilled the conditions of the proviso of Section 201(1) of the Act and if the AO finds as per the proviso of Section 201(1) of the Act then the assessee shall not be treated as assessee in default. We make it further clear that interest shall be charged as per Section 201A(1) - Needless to say the assessee should be provided reasonable opportunity of hearing and the assessee is directed to file the necessary documents for substantiating his case. The assessee is also directed not to take unnecessary adjournments for the speedy disposal of the appeal. Appeal filed by the assessee is allowed for statistical purposes.
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