https://www.taxtmi.com/caselaws?id=311012 The ITAT Surat-AT allowed the assessee's appeal against tax levied under Section 201(1) and interest under Section 201(1A) for alleged failure to collect tax at source under Section 206C on scrap sales. The tribunal held that items sold by the sugar manufacturing company including plastic containers, old tyres, metal barrels, gunny bags, rubber tubes, and ceiling wires did not qualify as "waste and scrap" under Explanation (b) to Section 206C since they were not generated from manufacturing or mechanical working processes. The tribunal found these items were reusable and unconnected to sugar manufacturing activities, distinguishing them from manufacturing waste. Consequently, no tax collection at source was required under Section 206C, and the assessee could not be treated as defaulter under Sections 201(1) and 201(1A). en-us Wed, 18 Apr 2018 00:00:00 +0530 Sat, 02 Dec 2023 08:46:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=311012 The ITAT Surat-AT allowed the assessee's appeal against tax levied under Section 201(1) and interest under Section 201(1A) for alleged failure to collect tax at source under Section 206C on scrap sales. The tribunal held that items sold by the sugar manufacturing company including plastic containers, old tyres, metal barrels, gunny bags, rubber tubes, and ceiling wires did not qualify as "waste and scrap" under Explanation (b) to Section 206C since they were not generated from manufacturing or mechanical working processes. The tribunal found these items were reusable and unconnected to sugar manufacturing activities, distinguishing them from manufacturing waste. Consequently, no tax collection at source was required under Section 206C, and the assessee could not be treated as defaulter under Sections 201(1) and 201(1A). Case-Laws Income Tax Wed, 18 Apr 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=311012