https://www.taxtmi.com/caselaws?id=751402 The ITAT Mumbai held that payments made by the assessee to vendors for purchase of finished goods constituted contracts of purchase, not works contracts under section 194C. The tribunal found that without evidence of the assessee supplying raw materials or directing vendors to purchase from associates, the transactions were standard purchase orders with product specifications. Following the precedent in CIT v. Glenmark Pharmaceuticals Ltd., the tribunal upheld the CIT(A)'s finding that these were principal-to-principal sale transactions. Consequently, TDS provisions under section 194C were not applicable, and additions under sections 201(1) and 201(1A) were deleted. Revenue's appeal was dismissed. en-us Wed, 06 Mar 2024 00:00:00 +0530 Tue, 16 Apr 2024 08:14:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=751402 The ITAT Mumbai held that payments made by the assessee to vendors for purchase of finished goods constituted contracts of purchase, not works contracts under section 194C. The tribunal found that without evidence of the assessee supplying raw materials or directing vendors to purchase from associates, the transactions were standard purchase orders with product specifications. Following the precedent in CIT v. Glenmark Pharmaceuticals Ltd., the tribunal upheld the CIT(A)'s finding that these were principal-to-principal sale transactions. Consequently, TDS provisions under section 194C were not applicable, and additions under sections 201(1) and 201(1A) were deleted. Revenue's appeal was dismissed. Case-Laws Income Tax Wed, 06 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=751402