TMI Blog2015 (9) TMI 1100X X X X Extracts X X X X X X X X Extracts X X X X ..... the land, therefore, there is no question of acquiring the land. The land always belonged to the State. It was only the encumbrance which was removed by the assessee by making payment of certain compensation. Therefore, we agree with the learned Commissioner of Income-tax (Appeals) that provisions of section 194L/194LA do not apply to the facts of the case. We confirm the findings of the learned Commissioner of Income-tax (Appeals) on this issue. The appeal filed by the Revenue on this issue is accordingly dismissed. - Decided against revenue. Assessing Officer has applied the provisions of section 194J whereas the assessee has deducted tax under section 194C of the Act - assessment years 2008-09 and 2009-10 - Held that:- We find that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The Assessing Officer was of the firm belief that there has been acquisition of immovable property for various projects by the assessee for which the project affected persons have been compensated as per the Land Acquisition Act of 1894 and since the assessee has not deducted tax at source as per the provisions of section 194L/194LA, the Assessing Officer treated the assessee as the assessee-in-default and computed the demand of tax under section 201(1) and that of interest under section 201(1A) of the Act. 4. Aggrieved, the assessee carried the matter before the learned Commissioner of Income-tax (Appeals). It was explained to the learned Commissioner of Income-tax (Appeals) that the assessee has only implemented the scheme of resettl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntract of AC and lift on which TDS has been made under section 194C of the Act whereas the Assessing Officer was of the opinion that these services fell under the category of technical services subject to TDS under section 194J of the Act and since the assessee has deducted tax under section 194C, the Assessing Officer proceeded with consequential liability under section 201(1) of the Act at ₹ 73,79,004 and also liable for interest under section 201(1A) of the Act at ₹ 32,46,761. 6. The assessee carried the matter before the learned Commissioner of Income-tax (Appeals). After considering the facts and the submission, the learned Commissioner of Income-tax (Appeals) observed that annual maintenance contracts are contracts for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... way tracks, the assessee evacuated the illegal/unauthorised persons in the form of squatters/hutments for which the assessee paid certain compensation to these persons. The fact of the matter is that these occupants were unauthorised and illegal, they were not the real owners of the land, therefore, there is no question of acquiring the land. The land always belonged to the State. It was only the encumbrance which was removed by the assessee by making payment of certain compensation. Therefore, we agree with the learned Commissioner of Income-tax (Appeals) that provisions of section 194L/194LA do not apply to the facts of the case. We confirm the findings of the learned Commissioner of Income-tax (Appeals) on this issue. The appeal filed by ..... X X X X Extracts X X X X X X X X Extracts X X X X
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