https://www.taxtmi.com/caselaws?id=409261 ITAT Delhi held that disallowance under section 40(a)(i) could not be sustained for non-deduction of tax at source on global account coordination cost paid to a non-resident. Although a retrospective amendment may expand substantive taxability, the obligation to withhold tax under section 195 must be tested against the law in force when the payment was made or credited. The 2010 amendment could not retrospectively impose a withholding burden on a payment made in assessment year 2008-09. Accordingly, the statutory basis for disallowance failed and the addition was deleted. en-us Fri, 02 Jul 2021 00:00:00 +0530 Wed, 28 Jul 2021 17:59:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=409261 ITAT Delhi held that disallowance under section 40(a)(i) could not be sustained for non-deduction of tax at source on global account coordination cost paid to a non-resident. Although a retrospective amendment may expand substantive taxability, the obligation to withhold tax under section 195 must be tested against the law in force when the payment was made or credited. The 2010 amendment could not retrospectively impose a withholding burden on a payment made in assessment year 2008-09. Accordingly, the statutory basis for disallowance failed and the addition was deleted. Case-Laws Income Tax Fri, 02 Jul 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=409261