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Expeditors International (India) ... vs Acit Circle-7(1), New Delhi on 30 June, 2021

the companies. Accordingly, the ld. CIT(A) concluded that the payments were made to Indian Companies also, which as stated by the assessee are the agents of non-resident companies. It is also mentioned by the ld. CIT(A) that the Indian Shipping Agents are not paid for purchase of goods, therefore provisions of section 194Q are not attracted. It is also observed by the ld. CIT(A) taking support from the decision of Hon'ble Delhi ITAT in the case of DCIT vs. Expeditors International India Pvt. Ltd. (supra), Hon'ble Gujarat High Court in the case of PCIT vs. Sumit India Water Treatment and Services Ltd. and some other case law that the ld. AO has not brought any material on record to show that Indian Shipping Companies in whose case TDS was not deducted by the assessee are not covered by CBDT Circular No. 723 or no filing returns under section 172 to invoke the provisions of section 40(a)(ia) of the Act. The ld. CIT(A) with such findings have taken the view that provisions of section 194Q are not applicable in the present case. Consequently, the disallowance made by the ld. AO under section 40(a)(ia) of the Act was held to be unsustainable.
Income Tax Appellate Tribunal - Delhi Cites 19 - Cited by 3 - Full Document
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