TaxTMI 
TaxTMI 
2014 (7) TMI 854
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....(Appeals) has erred in law and ON facts in holding that the amount paid by the assessee to CIDCO (City Industrial Development Corporation of Maharashtra Ltd.) as premium for acquiring lease hold rights in respect of the leased plot is not in the nature of "rent" as defined under section 194-I of the Act and, accordingly, the assessee was not required to deduct tax at source under section 194-I. 2. The Assessing Officer has treated the payment of leased premium to CIDCO in the nature of rent on which TDS was required to be deducted by the assessee under section 194-I. Accordingly, he passed the order under section 201(1) / 201(1A), determining the liability of an amount of Rs. 5,56,83,979, on account of non-deduction of tax and interest i....
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....TA No.738/M/2012) dated 16 August 2013 (Mum); 7. M/s Trent Limited (ITA No. 4629/M/2012) dated 21 August 2013 (Mum); 8. Naman BKC CHS Ltd (ITA No.708/M/2012) dated 12 September 2013 (Mum); 9. Parinee Developers Pvt. Ltd (ITA No.1734/M/2012) dated 26 September 2013 (Mum); 10. Dhirendra Ramji Vora (ITA No.3179/M/2012) dated 9 April 2014. He thus submitted that this issue is squarely covered by the above decisions of the Tribunal cited supra. 5. Learned Departmental Representative, on the other hand, strongly relied upon the findings of the Assessing Officer. 6. We have heard the rival contentions and have perused the various decisions of the Tribu....
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....p; "9. We have considered the rival submissions, perused the order of the lower authorities and the material evidence brought on record in the form of paper Book and the judicial decisions relied upon by the rival parties. The entire grievance revolves around the premium paid by the assessee to M/s. MMRDA Ltd. for the leasehold rights acquired by the assessee through the lease deed dt. 22nd November, 2004. It is the say of the Revenue that this lease premium was liable for deduction of tax at source failing which the assessee is to be treated as assessee in default. It is the say of the assessee that such lease premium is in the nature of capital expenditure and therefore there is no question of deduction of tax at source. Further, the said....
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....pra) have been well discussed by the Ld. CIT(A) is his order. The decision of the Hon"ble Jurisdictional High Court in the case of Khimline Pumps Ltd. (supra) squarely and directly apply on the facts of the case wherein the Hon"ble Jurisdictional High Court has held that payment for acquiring leasehold land is a capital expenditure. Considering the entire facts in totality in the light of the judicial decisions vis-à-vis provisions of Sec. 194-I, definition of rent as provided under the said provision, we do not find any reason to tamper or interfere with the findings of the Ld. CIT(A) which we confirm". 8. As the issue involved in the present case as well as all the material facts relevant thereto are similar t....