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TMI Blog2015 (11) TMI 1361X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee is not in any way entitled to quantify the income of the Clearing and Forwarding agent. What is the commission of the Clearing and Forwarding agent from the airlines is not known to the Assessee. Similar is the case in respect of other expenses also. In these circumstances, the claim of the Assessee that the expenses are reimbursement and consequently are not liable for TDS would not be a ground for non-deduction of TDS. Further, in the Assessees' own case for the earlier assessment year, on identical facts the co-ordinate bench of this Triunal had already taken decision and no change in facts have also been brought to the attention of the Tribunal. In fact, both the ld. DR and the ld. AR on behalf of the Assessees admit that the fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ating CBDT Circular No. 715, dated 08.08.1995 wherein it is clarified that any payment made to Forwarding and Clearing Agents would be liable for deduction of tax at source. 4. The Ld CIT(A) has also erred in not appreciating the fact that the jurisdictional Panaji Bench of ITAT, in the assessee's own case, has confirmed the order of the AO and set aside the order of CIT(A) on the said issue, vide its order in ITA No.122/PNJ/2014, dated 16.01.2015, for A.Y. 2009-10. 5. The Ld CIT(A) has erred in not following the order passed in this case by Panaji Bench of ITAT for an earlier A.Y. on the same issue, even though he is bound to follow decisions of superior legal authorities. 6. For these and other grounds that may be adduc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons. The claim of the Assessees that the payments to the Clearing and Forwarding agents were only reimbursement would not help the case of the Assessees insofar as none of the bills of the Clearing and Forwarding agents show that the expenses claimed were Clearing and Forwarding expenses. In fact, the bills raised are clear-cut bills raised on the Assessees herein and they do contain the break-up of the various heads but nowhere is there a claim of reimbursement. Further, when a bill is raised by a Clearing and Forwarding agent on an Assessee, the bills is a consolidated bill. The Assessee cannot break-up the said bill into reimbursement and charges. This is because the Assessee is not in any way entitled to quantify the income of the Clear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o. We have also gone through the decision of the Bangalore Bench in DCIT vs. Ananda Marakala dt. 13.9.2013 (150 ITD 323). We noted that in this decision the Tribunal took the view that the different High Courts have taken divergent views on the impugned issue and therefore they have taken a view in favour of the Assessee. We have already discussed that in the case of Vector Shipping Services (P) Ltd. (supra) the question before the Hon'ble High Court did not relate to payable or paid and the Hon'ble High Court has not decided the question on merit but has simply made observation as the counsel for the department did not question the law laid down by the Special Bench in the case of Merilyn Shipping Transports vs. Addl. CIT, 16 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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