https://www.taxtmi.com/caselaws?id=457514 Section 40(a)(iib) disallows specified levies such as royalty, licence fee, service fee, privilege fee, service charge and other fee or charge, but that language does not extend to a tax levy. Applying the Supreme Court's interpretation of the provision, VAT paid by a State undertaking was treated as a tax, not a fee or charge, because the Act distinguishes tax from fee. On that basis, VAT could not be brought within the disallowance clause, and the addition for VAT disallowance was rightly deleted in favour of the assessee. en-us Tue, 30 Jan 2024 00:00:00 +0530 Sat, 21 Sep 2024 16:20:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=457514 Section 40(a)(iib) disallows specified levies such as royalty, licence fee, service fee, privilege fee, service charge and other fee or charge, but that language does not extend to a tax levy. Applying the Supreme Court's interpretation of the provision, VAT paid by a State undertaking was treated as a tax, not a fee or charge, because the Act distinguishes tax from fee. On that basis, VAT could not be brought within the disallowance clause, and the addition for VAT disallowance was rightly deleted in favour of the assessee. Case-Laws Income Tax Tue, 30 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=457514