TMI Blog2020 (2) TMI 1032X X X X Extracts X X X X X X X X Extracts X X X X ..... E could be levied even in the absence of a regulatory provision being found in section 200A for computation of fee. In the light of aforesaid decision of the Hon ble Gujarat High Court, we decline to interfere with the action of the Revenue authorities. - Decided against assessee. TDS u/s 194IA - Held that:- the obligation under s.194IA of the Act is fastened on the transferee qua each transferor and where the consideration paid to any transferor is less than ₹ 50 Lakhs, the provisions of Section 194IA of the Act would not apply. In parity with the view already expressed on the issue, in the absence of any default under s.194IA of the Act, consequential late filing fees under s.234E to this extent is deleted. Decided partly ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sion creating a charge for levying fee for certain defaults in filing statements and fees prescribed under s.234-E cannot be levied without a regulatory provision found in section 200A for computation of fee prior to 01/06/2015. 4. We find that the legal issue raised by the Assessee has been addressed by Hon ble Gujarat High Court in favour of the Revenue and against the assessee in the case of Rajesh Kourani vs. Union of India (2017) 83 Taxmann.com 137 (Guj.). The Hon ble Gujarat High Court held that section 234E of the Act is a charging provision creating a charge for levying fee for certain defaults in filing statements and fee prescribed under s.234E could be levied even in the absence of a regulatory provision being found in se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee. It was contended on behalf of the assessee that obligation to deduct TDS under s.194IA of the Act is applicable qua each transferor/payee of the immovable property and cannot be seen with reference to the aggregate value of the immovable property under transfer to several transferees jointly. In this context, a tabulated statement of details of TDS under s.194IA and late fee computed under s.234E was referred to in the course of hearing which is reproduced hereunder: 9. With reference to the above tabulated statement, the learned AR submitted that late filing fee is not applicable with reference to last four entries where the share of consideration paid by the assessee to each transferor for acquisition of property is less th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 00/- therefore, as per section 194 IA(2), the assessee was required to deduct TDS @1%. The AO thus held that all the four assessees as defaulter u/s. 201(1) and created a total liability @ 1% i.e. ₹ 1,50,000/- by a common order u/s. 201(1) of the Act and Ld. CIT(A) confirmed the findings of the AO. During the hearing, Ld. Counsel for the assessee draw our attention towards the Paper Book-I Page no. 1 to 8 which is a copy of purchase deed dated 3.7.2013 was attached especially page no. 6 para no. 4 of the Sale Deed which is reproduced as under:- 4. That the actual physical possession of the said Residential Plot No. 94, Block-F, Area Measuring 500 sq. yards in the residential known as DLF s Model Town, Sect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lso noted that Section 194-IA was introduced by Finance Act, 2013 effective from 1.6.2013. It is also noted from the Memorandum explaining the provisions brought out alongwith the Finance Bill wherein it was stated that in order to reduce the compliance burden on the small tax payers, it is further proposed that no deduction of tax under this provision shall be made where the total amount of consideration for the transfer of an immovable property is less than fifty lakhs rupees. We further find that the main reason by the AO is that the amount as per sale deed is ₹ 1,50,00,000/-. The law cannot be interpreted and applied differently for the same transaction, if carried out in different ways. The point to be made is that, the law can ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s are permeating, therefore, our finding given above in ITA No. 2739/Del/2015 (AY 2014-15) in the case of Pradeep Kumar Soni vs. ITO will apply mutatis mutandis in these three appeals also, because the facts and circumstances of the case are exactly the same. 7. In the result, all the 04 appeals filed by the assessee are allowed. 11. The co-ordinate bench has thus held that the obligation under s.194IA of the Act is fastened on the transferee qua each transferor and where the consideration paid to any transferor is less than ₹ 50 Lakhs, the provisions of Section 194IA of the Act would not apply. In parity with the view already expressed on the issue, in the absence of any default under s.194IA of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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