https://www.taxtmi.com/caselaws?id=796998 Bank branches were not liable as assessees in default for failing to deduct tax at source on leave travel concession reimbursements involving foreign travel during the period covered by binding interim directions. Although the exemption was unavailable on merits, the interim directions treated the reimbursements as not constituting income for tax-deduction purposes. A default can arise only where a legally enforceable obligation to deduct tax exists and remains unfulfilled; the subsisting directions displaced that obligation for the relevant period. Consequently, no consequential interest was chargeable. en-us Tue, 21 Jul 2026 00:00:00 +0530 Fri, 14 Aug 2026 07:18:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=796998 Bank branches were not liable as assessees in default for failing to deduct tax at source on leave travel concession reimbursements involving foreign travel during the period covered by binding interim directions. Although the exemption was unavailable on merits, the interim directions treated the reimbursements as not constituting income for tax-deduction purposes. A default can arise only where a legally enforceable obligation to deduct tax exists and remains unfulfilled; the subsisting directions displaced that obligation for the relevant period. Consequently, no consequential interest was chargeable. Case-Laws Income Tax Tue, 21 Jul 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=796998