https://www.taxtmi.com/caselaws?id=20745 Section 206C could not be applied to collect income tax at the purchase stage from L-13 liquor licence holders operating under a fixed-price regulatory scheme. These licensees purchased and sold country liquor at prices prescribed under the licence rules and did not function as buyers capable of evading tax in the manner targeted by tax collection at source. The amended provision remained substantively comparable to the earlier statutory framework, and deletion of section 44AC did not alter that position. Collection at the prescribed rate would be arbitrary because it bore no rational relationship to the licensees' nominal profit. Tax was therefore not deductible or chargeable from L-13 licensees under section 206C. en-us Tue, 08 Sep 1992 00:00:00 +0530 Tue, 17 Nov 2009 10:24:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20745 Section 206C could not be applied to collect income tax at the purchase stage from L-13 liquor licence holders operating under a fixed-price regulatory scheme. These licensees purchased and sold country liquor at prices prescribed under the licence rules and did not function as buyers capable of evading tax in the manner targeted by tax collection at source. The amended provision remained substantively comparable to the earlier statutory framework, and deletion of section 44AC did not alter that position. Collection at the prescribed rate would be arbitrary because it bore no rational relationship to the licensees' nominal profit. Tax was therefore not deductible or chargeable from L-13 licensees under section 206C. Case-Laws Income Tax Tue, 08 Sep 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20745