Tax deduction compliance and payee income recognition govern consultancy disallowance, while no exempt income prevents related expenditure disallowanc...
Derivative abetment liability fails when correctly declared imported components establish no underlying improper importation by the principal importer...
Interest paid by a co-operative bank to another co-operative society, including a non-member depositor society, falls within the inter-co-operative-society exemption from tax deduction at source. The exclusion of co-operative banks from the member-payment limb does not extend to the separate limb covering payments between co-operative societies; a co-operative bank retains its character as a co-operative society. The recipient society's eligibility for deduction of its income is determined at assessment stage and does not govern the payer's independent transactional withholding obligation. Accordingly, the co-operative bank was not required to deduct tax on such interest and could not be treated as an assessee in default.
Interest paid by a co-operative bank to another co-operative society, including a non-member depositor society, falls within the inter-co-operative-society exemption from tax deduction at source. The exclusion of co-operative banks from the member-payment limb does not extend to the separate limb covering payments between co-operative societies; a co-operative bank retains its character as a co-operative society. The recipient society's eligibility for deduction of its income is determined at assessment stage and does not govern the payer's independent transactional withholding obligation. Accordingly, the co-operative bank was not required to deduct tax on such interest and could not be treated as an assessee in default.
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