Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (10) TMI 715 - AT - Income TaxTDS u/s 194C - disallowance of transportation charges paid by the assessee without deduction of TDS - Held that:- We find that the lorry owners are not connected with the party who is giving transportation work to the assessee. The assessee hired the lorries from outside as he was not able to manage the work with his own lorry. Therefore the assessee hired the lorries from outside on sub-contract basis and there was no contract between the principal and the lorry owners. The Revenue could not establish that these sub-contractors / lorry owners were fastened with any of the liabilities for the said carried of the goods In view of above, we find that as no part of the contract of the assessee was transferred to the lorry owners / sub-contractors. The role of the lorry owners was very limited to the extent of carriage of goods without any other liability. Therefore, they cannot be considered as subs-contractors of the assessee. Considering the facts and circumstances and cited case law, we reverse the orders of authorities below. - Decided in favour of assessee.
|