TMI Blog2011 (1) TMI 1104X X X X Extracts X X X X X X X X Extracts X X X X ..... in holding that the transactions in question being in the nature of contracts for shifting of goods from one place to another would be covered as works contracts, thereby attracting the provisions of section 194C. That since the assessee had given sub-contracts for transportation of goods and not for the renting out of machineries or equipment, such payments could not be termed as rent paid for the use of machinery and the provisions of section 194-I of the Act would not be applicable. The Tribunal was, therefore, justified in upholding the order passed by the Commissioner (Appeals). No substantial question of law arises. - 1038 of 2009 - - - Dated:- 11-1-2011 - HARSHA DEVANI MS., ANTANI H. B., JJ. JUDGMENT Ms. Harsha Devani J. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... matter in appeal before the Commissioner (Appeals) who held that the assessee was not in default of deduction of tax and that the levy of interest under section 201(1A) of the Act was not justified. The Revenue carried the matter in appeal before the Tribunal who dismissed the appeal. 3. Heard Mr. M. R. Bhatt, learned senior advocate appearing on behalf of the appellant, who has assailed the impugned order of the Tribunal by reiterating the findings recorded by the Assessing Officer. 4. As can be seen from the impugned order of the Tribunal, the Tribunal has merely concurred with the findings recorded by the Commissioner (Appeals) and has dismissed the appeal by placing reliance upon a decision of the Kerala High Court in the case o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ortation of goods and not for the renting out of machineries or equipment, such payments could not be termed as rent paid for the use of machinery and the provisions of section 194-I of the Act would not apply to such contracts. The Commissioner (Appeals) accordingly held that the assessee has rightly deducted TDS under section 194C of the Act ; that there was no default on the part of the assessee under the TDS provisions and as such there was no short deduction of tax and set aside the levy of interest under section 201(1A) of the Act. 6. Chapter XVII of the Income-tax Act, 1961, makes provision for collection and recovery of tax. Part B thereof makes provision for deduction at source and is comprised of sections 192 to 206AA. Section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mpers on hire/rent from the parties in question. The assessee has given contracts to the said parties for the transportation of goods and has not taken machineries and equipment on rent. In the circumstances, the Commissioner (Appeals) was justified in holding that the transactions in question being in the nature of contracts for shifting of goods from one place to another would be covered as works contracts, thereby attracting the provisions of section 194C of the Act. That since the assessee had given sub-contracts for transportation of goods and not for the renting out of machineries or equipment, such payments could not be termed as rent paid for the use of machinery and the provisions of section 194-I of the Act would not be applicable ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
