2020 (12) TMI 1084

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.... Act refusing to grant a certificate of deduction of tax at source at NIL rate, on payments to the petitioner company by its customers. Petitioner also prays for a direction to the respondent No.1 to reconsider the petitioner's application and grant Certificate under Section 197 of the Income Tax Act, 1961 for deduction of tax at source at NIL rate. 2. In the writ petition it has been averred that the respondent did not compute the tax liability of the petitioner which is a mandatory requirement of Rule 28AA and has arbitrarily concluded on mere guess work that there would be increase in tax liability as the petitioner's turnover is projected to increase. 3. The learned standing counsel for respondent submits that present writ petitio....

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.... since the impugned order was passed after an approval from the CIT, it cannot be challenged by way of a revision petition before the CIT under Section 264 of the Act. To hold otherwise, would amount to directing the petitioner to file an 'appeal from Caesar to Caesar'. 7. This court also held in Manpowergroup Services India Pvt. Ltd Vs. Commissioner Of Income Tax (Tds)-1 (supra) that the assessing officer cannot ignore the mandate of Rule 28AA and proceed on any other basis as the Government is bound to follow the rules and standards they themselves had set on pain of their action being invalidated. The relevant portion of Rule 28AA of the Income Tax Rules reads as under:- "28AA. (1) Where the Assessing Officer, on an applicati....