1991 (6) TMI 109

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..... the Hotel Hyatt Regency in respect of its employees had filed Form No. 24, which is called the annual return of salaries giving employee-wise details of salaries and allowances paid, standard deduction allowed and deduction under s. 80C, 80G, 80GG representing deductions under Chapter VIA the net amount on which tax is deductible and the amount of income-tax, surcharge in respect of each employee .....

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..... n the amounts as shown by the assessee as net salary on which tax was payable and that claimed to be net salary by the Department was on account of the deduction allowed by the assessee company on account of donations paid by the assessee, for which deduction was allowed under s. 80G The Assessing office has proceeded on the basic that such a deduction was permissible only one filling of the retur .....

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..... he contention of the Revenue was that though Form No. 24 does specify the amount deductible under s. 80G, but the same was not normally permitted deduction by the assessee-employer in arriving at the tax deductible at source on salaries. On the question of interest the plea was that as per s. 192 the average meant the total yearly taxes deductible from the pay average and, therefore, the amount de .....

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..... the employer within the prescribed time after the end of the financial year and deliver to the IT authority such return in such form and verified in such manner and setting forth such particulars as may by prescribed. The form that was prescribed in respect of the annual return is Form No. 24 and Column No. 12 clearly talks of amounts deductible under s. 80G in respect of donations to certain fun .....

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..... mount to be deducted each month. Sub-s. (3) of s.192 allows the employer the right of increasing or reducing the amount to be deducted for the purpose of adjusting any excess or deficiency arising our of any previous deduction during the financial year. Therefore, reading this s. 192 as well it is clear that though normally it is the average of the yearly tax that is relevant, but by virtue of sub .....

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