2016 (8) TMI 1301

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.... Agarwal, DR ORDER Smt. P. Madhavi Devi, This is assessee's appeal for the A.Y 2009-10. In this appeal, the assessee is aggrieved by the order of the CIT (A) in confirming the disallowances on various expenditure made by the AO u/s 40(a)(ia) of the I.T. Act. 2. Brief facts of the case are that the assessee company which is engaged in the business of publication of newspaper, filed its ....

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....e by the end of the relevant financial year and there was no amount remaining as "payable" as on the last date of the relevant financial year. In view of the same, according to him, the decision of the Special Bench of the Tribunal in the case of Merilyn Shipping & Transports vs. Add.CIT in ITA No.477/Vizag/2008 dated 14.03.2012 is applicable to the case before us. Further, he has also drawn our a....

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....& Transport vs. Add. CIT (Supra) has clearly held that the provisions of section 40(a)(ia) are not applicable to the payments already made by the assessee by the end of the relevant financial year. Further, the second proviso to section 40(a)(ia) provides that disallowance u/s 40(a)(ia) cannot be made if the assessee is not deemed to be an assessee in default under the first proviso to section 201....

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....to set aside the orders of the authorities below and remand the issue to the file of the AO for reconsideration and verification of the details filed by the assessee. If the AO finds that the recipients have offered the said income to tax in the relevant A.Y, then no disallowance shall be made in the case of the assessee. Further, the decision of the Special Bench of the Tribunal in the case of Me....