2015 (11) TMI 1638

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..... Assessee. The confirmation filed by the Assessee was enclosed in the paper book filed before the CIT(A), thus as long as the corresponding income was brought to tax in the hands of the payee, it was not intended to disallow the expenditure in the hands of the payer due to non deduction of tax at source. - Decided in favour of the Assessee.
S. Muralidhar And Vibhu Bakhru, JJ. For the Appellant .....

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..... assessment proceedings, it was noticed that the Assessee had debited a sum of ₹ 56,21,675/- under the head "Lab Test Expense". It was noticed that this payment was made to M/s SRL Ranbaxy Ltd. without deduction of tax at source although the payment was covered under Section 194J of the Act. Accordingly, the AO disallowed the expense under Section 40(a)(ia) of the Act and added it back to the .....

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..... onding income was brought to tax in the hands of the payee, it was not intended to disallow the expenditure in the hands of the payer due to non deduction of tax at source. 5. The ITAT has in the impugned order in the present case noted that "the Assessee has filed necessary confirmation from the payee that they have paid the amount received from the Assessee. The confirmation filed by the Assess .....

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