TDS DISALLOWANCE

CA Lalit (Consultant) (50 Points)

29 June 2010  

A building which is under construction on which contractors have been employed for carrying out the construction work  and the payments to the contractors are capitalised in the value of the building, 

now my question is that on payments to contractors no tds has been deducted , now i want to know wheather the amount  paid to contractors will be disallowed or not, since it is capital expenditure and not a revenue expenditure.