AO Must Decide if Expense is Capital; Filing Forms 15G/15H Affects TDS Obligations u/s 40(a)(ia.

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....Non-deduction of TDS - Disallowing u/s. 40(a)(ia) - If the AO accepts the contention of assessee that expenditure was capitalized, then there is no necessity to examine the filing of Form 15G & 15H. The AO is therefore directed to verify whether the expenditure claimed is capital expenditure and if so, delete the addition. If the same has been claimed as revenue expenditure, then the assessee should be permitted to file Form 15G & 15H so that TDS obligation can be said to be non-existent. - AT....