https://www.taxtmi.com/caselaws?id=779011 Payments to persons who merely referred prospective insurance customers were not insurance commission under section 194D because the recipients were not appointed as insurance agents and had no principal-agent relationship with the insurer. The commission-like payments therefore did not attract tax deduction at source under that provision, and disallowance under section 40(a)(ia) was not sustainable on these facts. The article also notes that an ad hoc 30% disallowance of referral commission was unsupported where the expenditure was backed by confirmations, bills, vouchers, payment details, and responses to notices and summons, making the arbitrary disallowance unsustainable. en-us Tue, 23 Sep 2025 00:00:00 +0530 Fri, 26 Sep 2025 08:26:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=779011 Payments to persons who merely referred prospective insurance customers were not insurance commission under section 194D because the recipients were not appointed as insurance agents and had no principal-agent relationship with the insurer. The commission-like payments therefore did not attract tax deduction at source under that provision, and disallowance under section 40(a)(ia) was not sustainable on these facts. The article also notes that an ad hoc 30% disallowance of referral commission was unsupported where the expenditure was backed by confirmations, bills, vouchers, payment details, and responses to notices and summons, making the arbitrary disallowance unsustainable. Case-Laws Income Tax Tue, 23 Sep 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=779011