2015 (10) TMI 2844

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....income from house property share trading business and other sources. Assessee filed her return of income for A.Y. 2009-10 on 20.09.2009 showing total loss of Rs. 1,57,077/-. The case was selected for scrutiny and thereafter the assessment was framed under section 143(3) vide order dated 24.10.2011 and the total income was determined at Rs. 3,28,409/-. Aggrieved by the order of A.O., Assessee carried the matter before ld. CIT(A) who vide order dated 29.11.2013 granted partial relief to the Assessee. Aggrieved by the aforesaid order of ld. CIT(A), Assessee is now in appeal before us and has raised the following ground:- 1. Ld. CIT (A) erred in law and on facts in confirming addition made by AO of Rs. 3,51,935/- invoking provisions of....

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....e appellant. The appellant has debited Rs. 3,51,935/- as management fee in the profit and loss account The said amount is paid to HDFC Portfolio Management. The professional management is clearly a professional service and liable for TDS deduction u/s. 194J and the appellant has not deducted the TDS and therefore liable for addition u/s. 40(a)(ia). The appellant has relied upon the decision of Hon'ble Kolkata Tribunal in the case of Dy. CIT Vs. Noble Enclave & Towers Pvt Ltd, in ITA No. 1241//Kol/2008. The feet of the above ca.se is different, as in this case, the assessee has paid brokerage to M/s. Kotak Securities on derivative transaction and it has been held by the Hon'ble Tribunal that there is no TDS liability u/s.194H on the ....

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....y a person in the course of carrying out listed professions and other notified professions constitutes "fee for professional services" and only the payment in connection with those services attract the provision for Section 194J of the Act. It thereafter considering the notification issued by the Board decided the issue in favour of the Assessee by holding as under:- 5. The issue which requires our adjudication is whether the market survey fee paid by the assessee is a professional service within the meaning of section 194J or not? 6. The provisions of section 194J read as follows: "194J. (1) Any person, not being an individual or a Hindu undivided family, who is responsible for paying to a resident any sum by way....

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....ying on listed professions and other notified professions constitutes fee for professional services and thus the payments in connection with such services attracts the provisions of section 194J of the Act. The payer is legally bound to make TDS at the rate of 10 per cent of such payment. 8. Further, we have also examined the notification issued by the Board for the purpose of Explanation (a) to section 194J of the Act, vide Notification No. S.O. 2085(E), dated August 21, 2008 and find the Board notified the services rendered by following persons in relation to the sports activities as "professional services" for the purpose of the said section, namely, sports persons, umpires and referees, coaches and trainers, team physicians and....