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[Cites 6, Cited by 1]

Gujarat High Court

Commissioner Of Income Tax (Tds) vs Oil And Natural Gas Corporation Ltd on 14 March, 2014

Author: Sonia Gokani

Bench: M.R. Shah, Sonia Gokani

         O/OJMCA/9/2014                                 ORDER




         IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                MISC. CIVIL APPLICATION NO. 9 of 2014

                      In TAX APPEAL NO. 555 of 2013

================================================================
         COMMISSIONER OF INCOME TAX (TDS)....Applicant(s)
                           Versus
     OIL AND NATURAL GAS CORPORATION LTD.....Respondent(s)
================================================================
Appearance:
MRS MAUNA M BHATT, ADVOCATE for the Applicant(s) No. 1
MR B S SOPARKAR, ADVOCATE for the Respondent(s) No. 1
NOTICE SERVED for the Respondent(s) No. 1
================================================================

      CORAM: HONOURABLE MR.JUSTICE M.R. SHAH
             and
             HONOURABLE MS JUSTICE SONIA
             GOKANI

                            Date : 14/03/2014


                              ORAL ORDER

(PER : HONOURABLE MS JUSTICE SONIA GOKANI)

1. The present applicant is the original appellant,  who   while   preferring   an   appeal,   raised   the  following questions of law:

"(A)  Whether on the facts & in law the   ITAT   was   right   in   holding   the   payment   of  uniform allowance, washing charges, etc. to  the employees by the assessee was liable for   Page 1 of 5 O/OJMCA/9/2014 ORDER FBT   and   by   holding   so   it   did   not   consider   the   fact   that   the   payment   of   uniform  allowance was nothing but additional salary  paid in the form of an allowance within the   meaning of section 17(1)(iv) attracting the  TDS   provisions   of   section   192   of   the   I.T.   Act ?
(B)  Whether on facts & in law the ITAT   was   right   in   holding   the   payment   of   conveyance   maintenance   reimbursement  expenditure (CMRE), to the employees by the   assessee   was   liable   for   fringe   benefit   tax   (FBT) and by holding so, it overlooked the   fact   that   the   payment   of   CMRE   was   nothing  but additional salary paid in the form of an   allowance   within   the   meaning   of   section  17(1)(iv)   attracting   the   TDS   provisions   of  sec. 192 of the I.T. Act ?
(C)   Whether on facts & in law the ITAT   was   right   in   holding   that   payments   to  contractors   for   Annual   Maintenance   Contract   for   EPINET,   VRC   hardware,   PSDM   Sub   System,   Acs, Lifts & UPS facility was work contract  covered by the Provisions of Section 194C of   the   Act   and   not   as   Technical   and   Professional fees covered under section 194J   of the I.T. Act ?


   (D)           Whether on facts & in law the ITAT  


                       Page 2 of 5
      O/OJMCA/9/2014                                ORDER



was   right   in   holding   the   payment   to   contractors for hiring of vehicles, plant &  equipments   were   work   contract   covered   u/s   194C of the Act and not as Rent covered u/s   194I of the Act ?
(E)  Whether on the facts & in law the   ITAT   was   right   in   holding   that   uniform   allowances   etc.   ground   (i)   above   will   be   governed by the provisions of section 17(2)
(vi)   though   the   same   is   in   respect   of   the   value   of   any   specified   security   or   sweat   equity shares and hence altogether different   from   the   issue   u/s   17(1)(iv)   in   the   appellant's case ?"

2. This Court while rendering the decision on August  12, 2013, dealt with question "B" only.

3. By   preferring   the   present   application,   it   is  urged  inter   alia  that   although   the   total  substantial questions of law raised in the appeal  were   five   in   number,   the   Court   dealt   with  question "B" only and the rest of the substantial  questions are left out and, therefore, by way of  present application, it is urged that the Court  may render decision on all other issues. Page 3 of 5

O/OJMCA/9/2014 ORDER

4. It is to be noted from the record, so also from  the submissions made by the both the sides that  at   the   time   of   hearing   of   the   concerned   Tax  Appeal, both the sides had concurred before the  Court that the only substantial question that has  arisen   is   the   question   "B"   for   the   Court   to  render   decision   and   accordingly,   the   said   Tax  Appeal has been disposed of giving the findings  and the reasons on such issue.

5. With   regard   to   question   "D"   of   hiring   of  vehicles,   plant   and   equipments,   such   issue   was  set   aside   by   the   Tribunal.   Though   the   question  was   raised,   such   question   was   remitted   to   the  Assessing   Officer   by   the   Tribunal   by   setting  aside   the   findings   of   the   original   authority.  Therefore,   such   question   though   had   arisen   from  the decision of the Tribunal, the same was not to  be adjudicated upon in wake of such remand and,  therefore,   the   only   question   that   deserved  consideration was question "B". At the costs of  ingemination, it is to be stated that the other  questions   did   not   arise   in   the   said   Tax   Appeal  Page 4 of 5 O/OJMCA/9/2014 ORDER and   that   fact   is   also   admitted   by   the   learned  counsel for the applicant­original­appellant. 

6. Resultantly,   this   application   for   recall/review  deserves   no   consideration   and,   therefore,   the  same   is   rejected.   Notice   is   discharged   with   no  order as to costs.

(M.R.SHAH, J.) (MS SONIA GOKANI, J.) Aakar Page 5 of 5