Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 November 2012 Dear Sir,

We have paid Rent at Exhibition for 3 days Rs. 144000...

We have classified the same in Advertisement Exp. in books of accounts..

Now A.O. wants to make addition on base that no TDS had been deducted U/s 194 C..

Is there any Circular regarding this ???

Thanks in advance...

CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)
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24 November 2012 The treatment given by AO is correct and it will be treated as rent only even though it was taken for exhibition purpose and TDS @10% will be deducted.

Querist : Anonymous

Querist : Anonymous (Querist)

24 November 2012 Sorry sir... Its not like that...

I try to Explain u again...

We have paid Rent but AO have taken the same as Contract and Want to disallow the same as we have not Deducted TDS ...

Kindly do give reply again.

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Amol S Joglekar

Amol S Joglekar (Expert)
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24 November 2012 That is what Amit has explained..... The action of assessing officer is justified in doing so. 194C itself is CLEAR in this regard. If you fall under that section, the action by AO is justified.

CA Sanjeev Kr Jain

CA Sanjeev Kr Jain (Expert)
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25 November 2012 FILE A REPLY WITH DOCUMENTARY EVIDENCE SHOWING IT WAS RENT, SINCE THE SAME IS BELOW 180000 NO TDS WAS REQUIRED TO BE DEDUCTED U/S. 194-I HENCE NO DIS-ALLOWANCE.

FURTHER HAVE A CERTIFICATE FROM THE PERSON TO WHOM THE RENT WAS PAID STATING THAT AMOUNT PAID BY YOU IS CONSIDERED BY HIM IN HIS TAX RETURN.

THE BOTH STEPS WILL HELP AT APPEALATE STAGE

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Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2012 Thanks to all for reply but is there any circular regarding this type of matter ???

Prakash Kochar

Prakash Kochar (Expert)
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26 November 2012
To give statutory recognition to the judgment of the Supreme Court in the case
of Hindustan Coca Cola Beverage Pvt. Ltd. Vs. CIT (2007) 293 ITR 226 (SC) Income Tax rules are amemded.
Insertion of rules 31ACB, 37J, Form Nos. 26A & 27BA.
Notification no. 37/2012 [f.no. 142/18/2012-so(tpl)], dated 12-9-2012
A certificate from CA of deductee as prescribed under rule may be submitted.

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