2017 (5) TMI 20

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.... TO GP/PP ORAL ORDER (PER : HONOURABLE MR.JUSTICE ANANT S. DAVE) 1 In this petition under Article 226 of the Constitution of India, the petitioner, who is the original owner and claimant of the subject land, challenges the order passed by respondent No.1 deducting Tax At Source [TDS] as per Section 194(A) of the Income Tax at the rate of 20% from compensation granted by respondent as per ....

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....nts to disburse compensation without deducting T.D.S. to the claimants". 3 Upon issuance of notice, learned AGP appearing for the respondents fairly concedes that, as on the date, the decision rendered by a Division Bench of this Court vide oral judgment dated 31.03.2016 [paras 13 and 14] in the case of Movaliya Bhikhubhai Balabhai Vs. Income Tax OfficerTDS1, Surat & Ors. in Special Civil Appli....

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....therefore, not justified in refusing to grant a certificate under section 197 of the I.T. Act to the petitioner for nondeduction of tax at source, inasmuch as, the petitioner is not liable to pay any tax under the head "income from other sources" on the interest paid to it under section 28 of the Act of 1894. 14 The petitioner had earlier challenged the communication dated 9th February, 2015 wh....

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....case of Movaliya Bhikhubhai Balabhai [supra]. The above decision is made applicable by Sardar Sarovar Narmada Nigam Limited and Chief General Manager [Accounts] of Sardar Sarovar Narmada Nigam Limited intimated to all concerned offices not to deduct TDS from the amount of compensation awarded under Section 28 of the Land Acquisition Act, 1894. However, the Departments of State of Gujarat, like the....