https://www.taxtmi.com/caselaws?id=71212 ITAT Visakhapatnam ruled in favor of the assessee regarding disallowance under section 40(a)(ia) for failure to deduct TDS under section 194C on hired vehicle payments. The tribunal held that payments to lorry owners for vehicle hire cannot be classified as sub-contract payments since the owners did not carry out any part of the main work by spending time, energy, or taking associated risks. The payments were deemed similar to salaries or rent rather than contractual work execution. Therefore, TDS provisions under section 194C(2) were not applicable, and consequently section 40(a)(ia) disallowance was not justified. en-us Fri, 09 Jan 2009 00:00:00 +0530 Wed, 19 Feb 2025 17:03:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=71212 ITAT Visakhapatnam ruled in favor of the assessee regarding disallowance under section 40(a)(ia) for failure to deduct TDS under section 194C on hired vehicle payments. The tribunal held that payments to lorry owners for vehicle hire cannot be classified as sub-contract payments since the owners did not carry out any part of the main work by spending time, energy, or taking associated risks. The payments were deemed similar to salaries or rent rather than contractual work execution. Therefore, TDS provisions under section 194C(2) were not applicable, and consequently section 40(a)(ia) disallowance was not justified. Case-Laws Income Tax Fri, 09 Jan 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=71212