https://www.taxtmi.com/caselaws?id=233459 The High Court affirmed the Tribunal's decision that the company was not a defaulter under Section 201(1) of the Income Tax Act as the agreement for royalty payment had been cancelled, relieving the company of any liability. Consequently, no consequential interest under Section 201(1A) was leviable. The Tribunal and High Court found errors in the Assessing Officer's order, ruling in favor of the assessee and emphasizing that the cancellation of the agreement absolved the company of the obligation to deduct TDS. The judgment clarifies tax implications when agreements are cancelled under the Income Tax Act. en-us Tue, 05 Mar 2013 00:00:00 +0530 Thu, 02 May 2013 10:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=233459 The High Court affirmed the Tribunal's decision that the company was not a defaulter under Section 201(1) of the Income Tax Act as the agreement for royalty payment had been cancelled, relieving the company of any liability. Consequently, no consequential interest under Section 201(1A) was leviable. The Tribunal and High Court found errors in the Assessing Officer's order, ruling in favor of the assessee and emphasizing that the cancellation of the agreement absolved the company of the obligation to deduct TDS. The judgment clarifies tax implications when agreements are cancelled under the Income Tax Act. Case-Laws Income Tax Tue, 05 Mar 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=233459