AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2024 (6) TMI 529
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....Commissioner of Income Tax, Cetralized Processing Cell-TDS (herein after referred to as 'the Assessing Officer') determining short collection of TDS in case of Your Appellant for the Period 1st January, 2014 to 31st March, 2014 (Quarter-4) at Rs.29,86,447/- 2. The Learned CIT (Appeals) erred in upholding the action of the Learned Assessing Officer rejecting the application of Your Appellant filed on 17.02.2018, u/s 154 of the Income Tax Act, 1961 when it was a consistent plea of Your Appellant that that having obtained Lower TDS Certificates in case of following parties, there was no short deduction of Tax at Source & no demand should have been raised against Your Appellant. The details of amount paid to deductees & TDS deducted thereon & the amount of Short deduction as computed by the Assessing Officer while processing TDS Return - Form No 260 for the period 1st January, 2014 to 31st March, 2014 (Quarter -4) are as under : 3. The Learned CIT (Appeals) erred in not appreciating the following facts: a) The TDS Officers of the Deductees have issued certificate under Section 197 of the Act to the Principal Officer of Your Appellant. Such certificates are in terms of ....
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....ereinafter referred to as the "Act"). b) Such certificate mandates the persons having a Specific PAN to whom such certificate is issued to deduct tax at a raté lower than the prescribed rate under Section 194J & 194H of the Act. c) Merely because the assessee had changed its TAN on account of change of TDS Jurisdiction & that too as per the direction of the TDS Jurisdictional Officer & got two separate TAN for the Financial Year 2013-14 for the same unit, will not render the certificates issued under Section 197(2) as redundant. Such certificates are to be issued to the Principal Officer of the Company having specific PAN as the person responsible for deduction of tax and not to any other person or unit of the assessee based on TAN. 4. The Learned CIT (Appeals) erred in Confirming the action of the Assessing Officer in levying Interest on alleged Short Deduction of TDS of Rs. 5,08,490/- for the period 1 October, 2013 to 31st December, 2013 (Quarter -3)." ITA No.4464/MUM/2023 "1. The Learned CIT (Appeals) erred in confirming the order passed by Assistant Commissioner of Income Tax, Cetralized Processing Cell-TDS (herein after referred to as 'the Assessing Officer....
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....f the case. Our observations and findings in this appeal shall apply mutatis mutandis to the other two appeals. 5. Assessee is a manufacturer of pneumatic elements, rotary actuators, control panels, valves, etc., and spares thereof. Registered office of the company was situated at Manpada Road, Dombivli East, District Thane, holding TAN bearing number MUMR05319G. Subsequently, assessee shifted to another location at B-703/4, Western Edge -II of western express highway, Borivali (East), Mumbai. On receipt of a letter from the AO(TDS), Kalyan, dated 08.07.2013 being jurisdictional AO(TDS) for Kalyan, assessee obtained another TAN bearing number PNER14698F, w.e.f. 14.08.2013. 6. TAN of the assessee was changed in the intermediary period. For the first two quarters of the year under consideration (from 01.04.2013 to 14.08.2013) assessee had filed its TDS returns and made TDS payments by using TAN:MUMR05319G and for the part of the second quarter and rest of the next two quarters (beginning from 14.08.2013 to 31.03.2014), compliances were done by using TAN : PNER14698F. 7. Certain suppliers of the assessee had applied for lower TDS certificates in advance for the transactions pertain....
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.... According to him, merely because assessee company has got separate TAN for two locations will not render the certificates issued u/s. 197 as redundant, since such certificates are issued to the Principle Officer of the company as the person responsible for deduction of tax. He placed reliance on the decision of CIT Vs. Parle Biscuits Pvt. Ltd. [2013] 351 ITR 138 (P&H) which squarely covers the case of the assessee. 11. Per contra, ld Sr. DR submitted that the matter may be sent back to the AO for verification of TDS done against the two TANs of the assessee and the respective compliance made thereon after which necessary relief be given to assessee. 12. We have heard the rival contentions and perused the material on record. We have given our thoughtful consideration on the application of the relevant provisions of the Act referred by the ld. counsel in his submission. 12. 1 The provisions of Section 197 of the Act are reproduced as under: "197. (1) Subject to rules made under sub-section (2A), where, in the case of any income of any person or sum payable to any person, income-tax is required to be deducted at the time of credit or, as the case may be, at the time of payment a....
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....reign ex- change asset, which is not a short-term capital asset, the authorised per- son responsible for remitting such sum to the non-resident Indian or for crediting such sum to his Non-resident (External) Account maintained in accordance with the Foreign Exchange Management Act, 1999 (42 of 1999), and any rules made thereunder; (iib) in the case of furnishing of information relating to payment to a non- resident, not being a company, or to a foreign company, of any sum, whether or not chargeable under the provisions of this Act, the payer him- self, or, if the payer is a company, the company itself including the principal officer thereof; (iii)in the case of credit, or, as the case may be, payment of any other sum chargeable under the provisions of this Act, the payer himself, or, if the payer is a company, the company itself including the principal officer thereof; (iv)in the case of credit, or as the case may be, payment of any sum chargeable under the provisions of this Act made by or on behalf of the Central Government or the Government of a State, the drawing and disbursing officer or any other person, by whatever name called, responsible for crediting, or as the case....