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 →

ASSISTANT COMMISSIONER OF INCOME-TAX (TDS) Versus STATE BANK OF INDIA (PEC)

Penalty levied under section 271C - assessee had not deducted tax at source under section 194A on interest payment - Held that:- As per the provisions of section 194A(3)(iii)(f) no tax is to be deducted at source on income by way of interest which are credited or paid to such other institutions, association or body which the Central Government may notify in this behalf in the special gazette. For the purpose of section 194A(3)(iii)(f) Notification No. S. O. 3489 dated October 22, 1970, lists a n .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

even as per the provisions of section 194A(3)(iii)(f) no tax was required to be deducted at source on the interest paid to it by the assessee. Since both as per the provisions of section 197A and section 194A(3)(iii)(f) the impugned payment was not to be subjected to tax deduction at source. No penalty under section 271C was therefore leviable. - Decided against revenue. - I. T. A. No. 1084 /Chd/ 2014 (assessment year 2009-10). - Dated:- 1-9-2015 - BHAVNESH SAINI (Judicial Member) and MRS. ANNA .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

year the assessee had not deducted tax at source under section 194A on interest payment. The Assessing Officer levied penalty under section 271C of the Income-tax Act, 1961, of ₹ 19,70,098, equal to the amount of tax which the assessee had failed to deduct as required under the provisions to Chapter XVII-B of the Act. 4. In appeal before the Commissioner of Income-tax (Appeals) the penalty was deleted vide order dated September 18, 2014, by holding at para 4 of the order as follows : " .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

l is correct in this regard. As per notification No. S. O. 3489 dated October 22, 1970, any undertaking or body, including a society registered under the Societies Registration Act, 1860, financed wholly by the Government is notified for the purposes of section 194A(3)(iii)(f) and PEC University of Technology falls in this category of undertaking. Therefore, tax was not required to be deducted at source on interest paid to PEC University of Technology. Moreover, income of PEC University of Techn .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

has filed this appeal before us. 6. The Departmental representative argued that the penalty has been deleted by the learned Commissioner of Income-tax (Appeals), for the reason that the assessee had paid interest to a society registered under the Societies Registration Act, 1860 and financed wholly by the Government and therefore, as per section 194A(3)(iii)(f) read with notification No. SO 3489 dated October 22, 1970, it was not required to deduct tax at source on the interest paid to the socie .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

not deducted at source was paid by the assessee to PEC University of Technology which was claiming exemption under section 10(23C)(iiiab) of the Act. Section 197A of the Income-tax Act, 1961, lists circumstances in which no tax has to be deducted at source. Clause (1F) of the section allows certain institutions and associations from receiving payments without tax deduction at source, stating as follows : "Notwithstanding anything contained in this Chapter, no deduc tion of tax shall be mad .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

s unconditionally exempt under section 10 of the Income-tax Act and who are statutorily not required to file return of income as per section 139 of the Income-tax Act, there would be no requirement for tax deduction at source since their income is anyway exempt under the Income-tax Act. The institutions whose income is unconditionally exempt under section 10 and who are statutorily not required to file return of income as per the provisions of section 139 are : (i) 'local authority', as .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

lause (23BBA) ; (vi) SAARC Fund for Regional Projects set up by Colombo Declaration referred to in clause (23BBC) ; (vii) Secretariat of the Asian Organisation of the Supreme Audit Institutions referred to in clause (23BBD) till assessment year 2003-04; (viii) Insurance Regulatory and Development Authority referred to in clause (23BBE) ; (ix) Prime Minister's National Relief Fund referred to in sub-clause (i), Prime Minister's Fund (Promotion of Folk Art) referred to in sub-clause (ii), .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

t fund to which the Provident Funds Act, 1925 (19 of 1925) referred to in sub-clause (i), recognised provident fund referred to in sub-clause (ii), approved superannuation funds referred to in sub-clause (iii), approved gratuity fund referred to in sub-clause (iv) and funds referred to in sub-clause (v) of clause (25) ; (xii) Employees' State Insurance Fund referred to in clause (25A) ; (xiii) Corporations referred to in clause (26BB) ; (xiv) Boards referred to in clause (29A)." 10. Poi .....

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
  ↓     Latest Happenings     ↓  

Notification: Exempts inter-state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 09/2017-IT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 08/2017-IT(R) to reduce CGST rate on specified supplies of Works Contract Services

Notification: Exempts intra state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 12/2017-CT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 11/2017-CT(R) to reduce CGST rate on specified supplies of Works Contract Services.

News: Tax on fuel more important for a dry state like Gujarat

Notification: Exempts intra state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 12/2017-UTT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 11/2017- UTT(R) to reduce CGST rate on specified supplies of Works Contract Services

Highlight: For an ayurvedic medicine to be classified under Chapter 30 has to pass the test whether it is for cure of any disease. If the same is only meant for care, then such product would not fall under medicament.

Notification: All Industry Rates of Duty Drawback Schedule

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Highlight: Demand of interest - the period of limitation that applies to a claim for the principal amount should also apply to the claim of interest thereon.

Highlight: Government issues new notifications under CGST, IGST and UTGST to grant fresh exemptions in respect of certain supplies.

Circular: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 117 of the Central Goods and Services Tax Rules, 2017

Forum: 3B mistake

Forum: Excise duty credit on finished stock at additional place of business.

Forum: Input tax credit

Forum: Cess paid instead of SGST

Forum: Manpower Service provider

Forum: Construction of single unit bungalow

Forum: Duty Drawback & Input Credit - under GST

Article: SIMPLIFIED E-WAY BILL UNDER GST

Article: SERVICES UNDER REVERSE CHARGE UNDER GST REGIME

Highlight: Rate of exchange of conversion of the foreign currency with effect from 22th September, 2017 - Notification

Highlight: Companies (Acceptance of Deposits) Second Amendment Rules, 2017 - Notification

Highlight: Implementing Electronic Sealing for containers by exporters under self-sealing procedure prescribed by Circular 26/2017-Cus dated 1st July, 2017 and Circular 36/2017 dated 28 th August, 2017. reg. - Circular

Highlight: Amendment to Paragraph 2.72 (b) of the Handbook of Procedures of the Foreign Trade Policy (FTP) 2015-20 - Public Notice

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012

Circular: Amendment to Paragraph 2.72 (b) of the Handbook of Procedures of the Foreign Trade Policy (FTP) 2015-20

Notification: Companies (Acceptance of Deposits) Second Amendment Rules, 2017

Notification: Rate of exchange of conversion of the foreign currency with effect from 22th September, 2017

News: Exchange Rate of Foreign Currency Relating To Imported and Export Goods Notified

Circular: Promote the officers of the Indian Revenue Service (Customs and Central Excise) to the grade of Principal commissioner of customs, GST & CX

Circular: Allocate the charges amongst the Members of the Central Board of Excise and Customs

Circular: Strategy for audits in 2017-18 consequent to GST - Audit by Central Excise and service Department to continue for the accounting year 2016-17 and for the past period

Circular: Appoint the IRS (C&CE) officers as Principal Commissioner (Revision Application) and ex-officio Additional Secretary

Circular: Time limit for filing intimation for composition levy under Rule 3(1) of the CGST Rules, 2017 extended to 16-8-2017

Circular: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 120A of the Central Goods and Service Tax Rules, 2017

Circular: C.B.E. & C. Advisory on Customs related matters on introduction of Goods and Services Tax regime

Circular: List of Reduced Tax Liabilities under GST regime in comparison to present combined Indirect Tax rates

Circular: Works Contract for construction of Flats, Complex Builders to pass on GST benefit to buyer otherwise anti-profiteering provisions of Section 171 of GST Act to apply

Circular: Clarification regarding applicability of section 16 of the IGST Act, 2017, relating to zero rated supply for the purpose of Compensation Cess on exports Regarding.

Circular: Clarification on Inter-state movement of various modes of conveyance, carrying goods or passengers or for repairs and maintenance- regarding

News: RBI Reference Rate for US $

Highlight: Addition u/s 23(1)(a) - deemed rent - once the property is let out and at any point of time this remained vacant during the same cannot be brought to tax under the head House properties income.

News: Haryana constitutes screening committee on anti-profiteering

Highlight: Valuation of imported goods - it is necessary to re-examine the matter of both license agreement as well as supply contract simultaneously, to see if the enhanced royalty was in the guise of adjustment of the price of components.

Notification: Levy of anti dumping duty on New/unused pneumatic radial tyres with or without tubes and/or flap of rubber (including tubeless tyres) having normal rim dia code above 16 originating in, or exported from China PR



|| 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