Case Laws
Acts
Notifications
Circulars
Classification
Forms
Manuals
Articles
News
D. Forum
Highlights
Notes
🚨 Important Update for Our Users
We are transitioning to our new and improved portal - www.taxtmi.com - for a better experience.
⚠️ This portal will be discontinued on 31-07-2025
If you encounter any issues or problems while using the new portal,
please
let us know via our feedback form
so we can address them promptly.
Home
2024 (3) TMI 545 - AT - Income TaxRectification u/s 154 - non deduction of TDS u/s 194I - treating assessee-in-default u/sec. 201 r.w.s. 201(1A) for the purpose of recovering the corresponding TDS involving varying sums in all these assessment years - HELD THAT - TDS recoveries pertain to assessee s payments of licence-fee of various CT and X-ray machines which have been treated as rental in nature attracting sec. 194I - AO had duly passed his sec. 201(1) r.w.s. 201(1A) order(s) on 28.01.2016 not holding the assessee as the assessee-in-default in the lead assessment year 2009- 2010. This followed former round of sec. 154 rectification which stood concluded in assessee s favour on 28.03.2018. AO thereafter took-up yet another sec. 154 rectification in the impugned second round dated 29.11.2019 that the assessee s foregoing payments duly attracted TDS deduction u/sec. 194I of the Act whose non-compliance would liable it to be treated as the assessee-in-default. We are of the view in this clinching factual backdrop that such a course of rectification of the issue involving detailed enquiries would hardly be available to the AO since as per hon ble apex court s landmark decision in TS Balram ITO vs. Volkart Bros. 1971 (8) TMI 3 - SUPREME COURT . We thus conclude that the learned lower authorities have erred in law and on facts in treating the assessee as the assessee-in-default in sec. 201 r.w.s. 201(1A) by way of sec. 154 rectification in question. The same is held as not sustainable in law in all these assessment years since involving identical facts.
|