13 May 2009
Sir, A partner's car is used by a firm, & he is paid some amount on A/c of rent for car(Car is used for firm's work only), the AO has disallowed the said Exp. stating that the payment is in nature of contract with the partner & the firm has not dedcuted Tax while making such payments U/S 194C.(Though no such contract exist there in) Is the AO's action justified?? Can i get ref. to some case in this regards.
CAclubindia
