Agency in CNG distribution makes outlet operators commission agents, rendering taxable Business Auxiliary Service rather than purchasing goods for res...
Composite inpatient healthcare supply may retain exemption despite MRP medicine billing, while separate taxable sale characterisation remains disputed...
Working-capital adjustment determines whether software-services transfer-pricing margins fall within the statutory tolerance range, eliminating any ad...
Permanent establishment deductions upheld for expatriate salaries, direct costs and trading losses, while head-office costs require fresh classificati...
The mandate of Section 205 is clear that the assessee shall not be called upon to pay taxes himself to the extent tax has been deducted from the assessee's income. The object is that when the obligation to deposit tax is on the employer and the employer defaults, the liability cannot be shifted to the employee who is the beneficiary of the payment. The department foisted the liability on the petitioners without legal warrant, clearly violating Section 205. The impugned demand notices issued to the petitioners stand quashed and set aside for breaching Section 205. However, if there are other tax demands from the petitioners on any other count, those issues are kept open and not adjudicated.
The mandate of Section 205 is clear that the assessee shall not be called upon to pay taxes himself to the extent tax has been deducted from the assessee's income. The object is that when the obligation to deposit tax is on the employer and the employer defaults, the liability cannot be shifted to the employee who is the beneficiary of the payment. The department foisted the liability on the petitioners without legal warrant, clearly violating Section 205. The impugned demand notices issued to the petitioners stand quashed and set aside for breaching Section 205. However, if there are other tax demands from the petitioners on any other count, those issues are kept open and not adjudicated.
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