discount allowed on the
prepaid recharge coupons to the distributors under section 194H of the
Income Tax Act, 1961 ["Act" in short ... close
scrutiny of Section 182 , Distributor is not an agent, therefore, in our
considered opinion, the provisions of Section 194H have wrongly been
invoked
read with section 194H of the
Act. ITA Nos. 1867 to 1970/PUN/2014 filed by the assessee are directed
against the common order dated ... termed as
commission so as to attract the provisions of section 194H of the I.T.
Act.
7. The assessee further submitted that the mechanism
commission tax was
deducted at source as per the provisions of section 194H of the Act.
3
2.2. Assessee is also having second segment ... between the assessee and its various
distributors and hence, provisions of section 194H do not come into play. According
to assessee, it merely appoints number
Section Demand u/s Demand u/s Total
201(1) 201(1A)
194C Rs.422489/- Rs.101197/- Rs.523686/-
194H Rs.50465972/- Rs.5468432 ... both on facts and in law in applying the
provisions of Section 194H of the Income Tax Act to
the discount given to distributors
Section Demand u/s Demand u/s Total
201(1) 201(1A)
194C Rs.422489/- Rs.101197/- Rs.523686/-
194H Rs.50465972/- Rs.5468432 ... both on facts and in law in applying the
provisions of Section 194H of the Income Tax Act to
the discount given to distributors
provisions of Section 194H did apply. Accordingly, demand under Section 201 r/w Section 194H was raised on the appellant in respect of non deduction ... bond expenses' partly under Section 201 r/w Section 194-I and partly under Section 194H . Aggrieved by the short deduction of tax source
assessing officer has passed order under section 201(1) for not deducting tax at source under section 194H of the Act on distribution and commission ... payee and the provisions of this section shall apply accordingly."
39. On perusal of Explanation to section 194H , it is evident that not only
194A. However clause (iii) to
sub section (3) to section 194A specifically provides that the
provisions of sub section (1) shall not apply to such ... Assessee. The provisions of Sec.194-H of the Act read as
under:
" Section 194H : COMMISSION, BROKERAGE, ETC.
(1) Any person, not being
termed as commission so as to attract the provisions
of section 194H of the Income Tax Act. It was further argued that the
mechanism ... nature of commission liable for deduction of tax as
envisaged under section 194H of the Act.
10
Vodafone Cellular group
2.3. On the facts
being in the
nature of "Commission" as envisaged in section 194H, tax at source
was not liable to be deducted from the payment ... Bank Guarantee
Commission under section 194H. This contention of the assessee was
not found acceptable by the A.O. in view of CBDT Circular
