Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Idea Cellular Ltd Versus Income-tax Officer

2015 (6) TMI 483 - ITAT AHMEDABAD

Non-deduction of tax under section 194H - AO treating the discount offered by the assessee to pre-paid distributors in the nature of "commission" - 'ássessee in default’ - Held that:- There is divergence of opinion on this issue amongst Hon’ble High Courts. The controversy would ultimately be silenced by the Hon’ble Supreme Court. Therefore, we deem it appropriate to set aside the impugned orders and restore these issues to the file of ld. AO for re-adjudication. The ld. AO shall take into consi .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

date i.e. 10.8.2010 passed by the ld. CIT(A) in AYs 2008-09 to 2010-11. The grounds of appeal taken by the assessee in all these three years are not in consonance of Rule-8 of I.T.A.T. Rules, 1963 rather they are descriptive and argumentative in nature. It has taken 4 main grounds and in each main ground, it has taken three sub-grounds. However, its grievance revolves around the single issue i.e., whether the ld. AO is justified in treating the discount offered by the assessee to pre-paid distr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

service provider engaged in providing services in Gujarat Circle. In the course of its business it appoints pre-paid distributors. A survey was carried in the business premises of the assessee on 18.8.2008 to ascertain whether the assessee company is deducting proper taxes at source on commission payment or not. According to the AO, during the course of survey, it is seen that the deductor committed various defaults for non-deduction and less deduction under various provisions of TDS. He further .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

. 2009-10(upto Feb 10) 291,471,745/- Total 752,289,702/- According to the AO section 194H contemplates that for commission or brokerage includes any payment received or receivable directly or indirectly by a person acting on behalf of another person for services rendered……., The definition of commission also states that even if the amount is received indirectly by a person acting on behalf of another person for services rendered, it amounts to commission/brokerage which attracts TD .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

201(1A) of the I.T. Act, 1961 for AY 2008-09, 2009-10 & 2010-11. 3. Appeal to the CIT(A) did not bring any relief to the assessee. 4. The ld. counsel for the assessee at the very outset submitted that an identical issue had come up before the Hon ble Delhi High Court in assessee s own case. Hon ble Court has held that on sale of pre-paid vouchers, TDS ought to be deducted. The judgment is reported in 325 ITR 148 (Delhi). Hon ble Kerala High Court has also decided the issue against the assess .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

South Ltd., and Tata Teleservices Ltd. Rendered in ITA Nos.637-744, 256-263, 158-163 of 2013. The Hon ble Court observed that Hon ble Kerala High Court in the case of Vodafone Essar Cellular Ltd. and Hon ble Delhi High Court in the case of assessee (Idea Cellular Ltd.) proceeded on the basis that services cannot be sold and it is to be rendered. Hon ble Karnataka High Court is of the opinion that right to service can be sold and, therefore, the income accrues to the pre-paid distributors only wh .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version