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TMI Blog2019 (4) TMI 2127X X X X Extracts X X X X X X X X Extracts X X X X ..... BOMBAY HIGH COURT ] PSF is a statutory levy and the assessee airline is only acting as a conduit between the embarking passengers and the Central Government Agency. Clearly therefore, even the provisions of section 194J of the Act would not apply. Assessee was not required to deduct TDS u/s 194J on payment of PSF account of PSF. Decided against revenue. TDS u/s 194H - amounts retained by various banks for credit card commission - HELD THAT:- The issues involved in the present appeals are covered by the judgment of JDS Apparels (P.) Ltd [ 2014 (11) TMI 732 - DELHI HIGH COURT] wherein held that the assessee was not required to deduct TDS on charges retained by Bank / credit card agencies out of the sale consideration of tickets b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f tax from credit card commission came into force w.e.f. 01-01-2013 and, therefore, the deduction of tax at source was required to be made for the period before 01-01-2013. 3. We have heard the arguments of both the sides and perused the material placed before us. We find that both the above grounds are squarely covered in favour of the assessee by the decision of ITAT in assessee s own case for assessment year 2012-13 vide ITA No.6103/Del/2015. With regard to ground No.1, after detailed discussion, the ITAT concluded as under :- 5.6 From the above decided precedents, it is clear that the issue in dispute is now no more res integra. In the case of Jet Airways (supra) it was claimed by the department that payment of PSF attracted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e in dispute stands fully covered by the decision of the Hon ble Jurisdictional High Court in the case of JDS Apparel (supra) wherein the Hon ble High court has held as under :- 15. Applying the above cited case law to the factual matrix of the present case, we feel that Section 194H of the Act would not be attracted. HDFC was not acting as an agent of the respondent-assessee. Once the payment was made by HDFC, it was received and credited to the account of the respondent-assessee. In the process, a small fee was deducted by the acquiring bank, i.e. the bank whose swiping machine was used. On swiping the credit card on the swiping machine, the customer whose credit card was used, got access to the internet gateway of the acquiring ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an agent and thereby renders services in the course of buying and/or selling of goods. This happens when there is a middleman or an agent who interacts on behalf of one of the parties, helps the buyer/seller to meet, or participates in the negotiations or transactions resulting in the contract for buying and selling of goods. Thus, the requirement of an agent and principal relationship. This is the exact purport and the rationale behind the provision. The bank in question is not concerned with buying or selling of goods or even with the reason and cause as to why the card was swiped. It is not bothered or concerned with the quality, price, nature, quantum etc. of the goods bought/sold. The bank merely provides banking services in the form o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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