2016 (8) TMI 773

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....07, the appellate proceedings before the learned CIT(A) arising from the order dated 31st March 2011 passed by the learned Assessing Officer (hereinafter called "the AO") u/s 201(1) and 201(1A) of the Income Tax Act,1961 (Hereinafter called "the Act"). 2. The grounds of appeal raised by the assessee in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter called "the Tribunal") reads as under:- "1. On facts and in the circumstances of the case and in law, the learned Commissioner of Income-tax Appeals, Mumbai ('CIT(A)-13') has erred in confirming interest of Rs. 9,65,226 levied by the Assessing Officer ('AO') under section 201(1A) of the Act in respect of provision of expenses. 2. Without ....

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.... from the period from April 2005 to March 2011, vide orders dated 31.03.2011 passed by the AO u/s 201(1) and 201(1A) of the Act. 4. Aggrieved by the orders dated 31.03.2011 passed by the AO 31.03.2011 u/s 201(1) and 201(1A) of the Act, the assessee preferred appeal before the learned CIT(A) who after considering the fact that the assessee has duly made payments of TDS on the said amount of Rs. 2,33,64,308/- in subsequent assessment year 2007-08 held that the assessee cannot be held liable u/s. 201(1) of the Act , and the learned CIT(A) ordered deletion of demand of Rs. 12,61,734/- raised against the assessee u/s 201(1) of the Act, while the learned CIT(A) confirmed the demand of Rs. 9,65,226/- raised against the assessee towards interest....

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.... may be set aside to the file of AO for verification of the afore-stated claim of the assessee . 7. We have considered the rival contentions and perused the material on records including the case laws relied upon. We have observed that the assessee was held as assessee in-default u/s 201(1) /201(1A) of the Act for non-deduction/payment of TDS amount of Rs. 12,61,734/- on the gross amount of expenses of Rs. 2,33,64,308/- under Section 194C, 194J and 194I of the Act and interest thereof for non-payment of TDS to the credit of Central Government . The said amount of Rs. 2,33,64,308/- on which TDS was not deducted / paid to the credit of Central Government stood disallowed u/s. 40(a) of the Act while computing income of the assessee for the ....