Electric Power sellers/traders use the transmission lines of powergrid corporation of india ltd (PCIL) for transmitting power. For this PCIL levies application fee, transmission charges, operating charges [which includes fee for scheduling, system operation and disbursement of charges (among various agencies involved)]. These charges are generally referred to to as wheeling charges or open access charges.

Of late the income tax department issued notices to discoms/State Electricity Boards (SEBs)asking them why were not they deducting tax on the wheeling charges.

The wheeling charges are first billed by the PCIL to the power seller and the power seller in turn bills the same amount (similar to the case of reimbursements)to its buyer. These power traders operate on very thin margins and if TDS is deducted it will be much higher than their tax liability and surely results in cash blockage.
In one case the assessing officer (TDS) is insisting that the charges are covered by the provisions of 194J of the IT Act.
I am not in agreement with his views following the case of Barti Cellular Ltd., (Delhi High court).
I would like to know whether at all the wheeling charges or open access charges are subjected to TDS. If so under what reasoning and what provisions of IT Act? I strongly believe that unless specifically covered by the provisions of the Act, no TDS is to be made on payments. Also I draw the attention of experts to the judgement of Madras High Court in the case of Skycell communications wherein it observed that either liability to TDS exists or does not exist. There is no scope for thoughts of "abundant caution".

I welcome the views of the experts.

I want to know the full address of noida branch & procedure to get duplicate marksheet of PCC nov. 2008

Dear all,
one employee working in 3 comoanies.
salary is below 10,000 in every company.
Whether it compulsory to deduct ESI in every company as per ESI Act ?
Give some Reference..

While auditing a cooperative housing society whether auditor can comment on
a) Non Compliance of govt. directives to obtain police verification report before letting out of flats etc.

b) Non attendance of Managing Committee Members in Monthly meeting

c) Defaulter of society being MC Member etc

d) Internal working of society and non adherence to Bye laws and govt directives

Whether secretary of housing society deny information on above subjects to auditor/ Internal Auditor of society?

1. A trust has not filed its return for last five years, now it wants to file return for all the five years. please tell me whether any penalty leveied for the delay if yes what is the amount.

Can the Bank charge prepayment penalty on closure of CC a/c. which basically is limit taken and is payable on demand.

I have a big excel worksheet where I have filled up numbers in some cells. In the cells which dont have numberes or forumulas I want to have "0"(zero). What is the short cut for this? Can this be done in one go?



Thanks.

A caterer provides service through a broker what is the applicabilty of Service Tax to him

Please tell which of my family members can give loan to my wife, exceeding RS. 50,OOO/- And not attracting income tax liability.Can you elaborately explain the definition of "relative" for Income tax purpose.

what should be accounting treatment if goods are purchased with vat/cst and same amount of vat/cst is shown as discount in the same invoice.
For eg...
Basic Price 100
CST 3
Total 103
Less
Discount 3
Net 100
The discount is not in the nature of Cash discount.... We cannot treat this discount as trade discount as well.. as it comes after vat/cst calculation... Please let me know the repurcusion at the time of sale tax assessment.