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2022 (11) TMI 654 - AT - Income TaxRevision u/s 263 by CIT - Disallowance u/s 40(a)(ia) - Applicability of TDS on payment of commission, labour charges and advertisement - According to the assessee, section 40(a)(ia) is applicable on the amounts, which are payable and not on the amounts, which already paid - distinction between lack of inquiry or inadequate inquiry - HELD THAT:- Assessee has explained the issues before the ld. Assessing Officer. It is a different thing that ld. Assessing Officer did not translate his satisfaction in the assessment order. It is pertinent to observe that how to draft assessment order is in the discretion of the ld. Assessing Officer and assessee has not controlled over it. But a perusal of the ld. Commissioner’s order would indicate that ld. Commissioner has not applied his mind on any of the details available on the assessment record. We failed to note what type of examination he has made when assessee has demonstrated that these are Credit Card sales. Such plea was supported with the Bank details, then Commissioner ought to have cross verified all these aspects from the assessment record including the Bank details and thereafter should have doubted about the finding of the AO. The amounts referred under three Heads do not require deduction of any TDS and in this situation, no disallowance u/s 40(a)(ia) is called for. Commissioner has failed to examine the issue analytically in right perspective and, therefore, it is not sustainable in the eyes of law. We allow the appeal of the assessee and quash the impugned order. Appeal of the assessee is allowed.
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