ALPESH KUMAR (SUPRITENDENT) (140 Points)
26 February 2011Hello to all,
As per section 40(a)(ia), expenditure is not deductible, if the TDS provision is not complied while making the payment/credited the account.The question is, if the expenditure is capital expenses,then what will be the position of disallowance u/s.40(a)(ia). I.T. Department is considering the same as disallowance and is likely to make addition of the such amount on which TDS is not deducted.
Pankaj Arora
(Learner)
(3134 Points)
Replied 26 February 2011
Same provision will be for capital expenditue... u/s 40(a)(ia)
Omprakash Jain
(CA)
(280 Points)
Replied 27 February 2011
If the exp has not been claimed in Total Income itself, then the question of disallowance does not arise. That is, no addition of the expenses which is capitalised. How ever, other TDS provisions for interest & penalty are applicable.
CA Akshat
(article)
(422 Points)
Replied 14 April 2012
Whjat if trust has not deducted the TDS. How to give effect in such case?????
CAclubindia
