https://www.taxtmi.com/caselaws?id=243636 ITAT considered whether a payer was obliged to deduct tax at source on consultancy fees payable to a non-resident service provider where payment depended on regulatory approvals and was never made; the tribunal found no accrual of income and no liability to deduct tax because the amount was not payable, and there was no proven permanent establishment or business connection in India, resulting in the CIT(A) order being upheld in favour of the assessee. The tribunal also held that penalty for failure to deduct tax could not survive once deductibility was negated, and the CIT(A) cancellation of penalties was maintained. en-us Wed, 07 Aug 2013 00:00:00 +0530 Thu, 05 Feb 2026 16:16:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=243636 ITAT considered whether a payer was obliged to deduct tax at source on consultancy fees payable to a non-resident service provider where payment depended on regulatory approvals and was never made; the tribunal found no accrual of income and no liability to deduct tax because the amount was not payable, and there was no proven permanent establishment or business connection in India, resulting in the CIT(A) order being upheld in favour of the assessee. The tribunal also held that penalty for failure to deduct tax could not survive once deductibility was negated, and the CIT(A) cancellation of penalties was maintained. Case-Laws Income Tax Wed, 07 Aug 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=243636