9911796707
TMI Blog2016 (1) TMI 679X X X X Extracts X X X X X X X X Extracts X X X X ..... Utilities in (2009 (1) TMI 4 - BOMBAY HIGH COURT), we find merit in the submissions of the assessee. It is also noted that the ld. Commissioner of Income Tax (Appeals) uphold the disallowance amounting to ₹ 3304. We affirm the stand of the ld. Commissioner of Income Tax (Appeals). So far as, disallowance of payments made in violation of the provisions u/s 40(a)(ia) r.w.s 194 I and 194J is concerned, we note that in para 4.1 of the impugned order, the brake up of the disallowance made by the Assessing Officer has been discussed. Since, we have held that the assessee is not covered u/s 194I/194J and the assessee cannot be treated in default, therefore, we affirm the stand of the ld. Commissioner of Income Tax (Appeals). Resultantly, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... u/s 201(1) and 201(1A) of the Act. The crux of argument advanced by Shri Vijay Kumar Soni, ld. DR, is identical to the ground raised, whereas, Shri Gyaneshwar Y Kataria, defended the conclusion arrived at in the impugned orders. M/s Manilal Patel Clearing Forwarding Pvt. Ltd. 2.2. We have considered the rival submissions and perused the material available on record. The facts, in brief, are that the assessee is custom house agents filed TDS returns. Survey u/s 133A of the Act was carried out on 24/02/2011. The assessee disclosed the material facts/documents during survey and also during subsequent submission dated 18/03/2011 and 23/03/2011 made before the Assessing Officer. The Assessing Officer passed order u/s 194C, 194 I and 194J of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... between the importers/exporters and the port authorities. The assessee merely collected payments from its customers and disbursed the same to them. The ground rent, terminal handling and demurrage were also the sole liability of the clients. Thus, in the absence of any privity of contract between the port authorities and the assessee, it can be said that the assessee is not a person responsible for deducting tax u/s 194 I of the Act, consequently, it can be concluded the assessee cannot be said to be assessee in default in respect of payments made to AAI/BPT and the demand raised u/s 201(1)/201(1A) of the Act. The regulations prescribe the responsibilities of the custodians, who are allowed to operate in the custom area to handle the goods ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e conclusion drawn by the ld. Commissioner of Income Tax (Appeals) that the assessee is not a person responsible as defined u/s 194 I, therefore, regarded in default for non-deduction of tax. Therefore, imposition of section 201(1) and consequent interest 201(1A), as alleged by the Assessing Officer was not justified. Identical is the situation for Cargo handling charges. So far as, fee for technical services is concerned, it has been clarified in Merchan Shipping Services Pvt. Ltd. (2011) 9 taxman.com 17 (Mum.) and HCL Infotel Ld. vs ITO 99 TTJ 440 (Chandigarh) in which the decision from Hon ble Madras High Court was relied upon. The stand of the Revenue is that these payments represents fee for technical services, requiring deduction of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tel Clearing Forwarding Pvt. Ltd. 3.2. So far as, disallowance of payments made in violation of the provisions u/s 40(a)(ia) r.w.s 194 I and 194J is concerned, we note that in para 4.1 of the impugned order, the brake up of the disallowance made by the Assessing Officer has been discussed. Since, we have held that the assessee is not covered u/s 194I/194J and the assessee cannot be treated in default, therefore, we affirm the stand of the ld. Commissioner of Income Tax (Appeals). Resultantly, this appeal of the Revenue is also having no merit. Finally, the appeals of the Revenue are dismissed. This Order was pronounced in the open court in the presence of ld. representatives from both sides at the conclusion of the hearing on 29/10 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
