2018 (5) TMI 1958

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.... appreciation of the facts and circumstances of the case in their right perspective. 2. That on the facts and circumstances of the case & provisions of the law, the Ld. CIT(A) erred in confirming the denial of exemption u/s 10(5) read with Rule 2B in respect of reimbursement of Leave Travel Concession involving foreign leg through circuitous route as long as the employees designated place is in India for his leave travel concession and he actually visits the place as designated and the bank has not paid any amount for foreign tour which has been undertaken by the employee from his own pocket. 3. Without prejudice to ground no. 2 above, the Ld. CIT(A) has also erred in treating the bank as an "assessee in default" by consid....

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....ank vs. ITO (TDS) in ITA Nos. 5992 to 5994 of 2012 and the order of the Tribunal in the case of Aligarh Muslim University vs. ITO (2017) 83 taxmann.com 364 (Trib. Order) in support of his contention that without establishing that taxes were not paid by the recipient the AO cannot hold the payer to be in default.   3. The Ld. DR, on the other hand, has contended that now there is no dispute with regard to the taxability of the payment made by the assessee on account of Leave Travel Concession involving foreign tour. Now the issue left out for an adjudication is only as to whether the assessee is in default for non deducting of TDS on such payments made to its employees. In the aforesaid order of the Tribunal, it had been made clear t....