TaxTMI 
TaxTMI 
2024 (7) TMI 877
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....e Assessment Year 2018-2019. 2. The only effective issue raised by the assessee is that the Ld. PCIT erred in holding the assessment framed u/s 143(3) r.w.s. 143(3A) & 143(3B) of the Act as erroneous in so far prejudicial to the interest of revenue. 3. The Ld. PCIT on examination of the assessment records observed that there was addition of fixed asset in the year under consideration on which depreciation and additional depreciation was claimed by the assessee. However, the AO has not inquired during the assessment proceedings anything about purchase of fixed asset and the depreciation claimed thereon. 3.1 Likewise, the Ld. PCIT found that the assessee has made payment of commission to the foreign parties without deducting TDS amounting ....
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....g the year under consideration, it is stated that during the assessment proceedings as well as revision proceedings, the assessee has failed to provide the documentary evidences regarding the fixed asset purchased during the year were 'put to use' during the year under consideration (ii) Regarding the issue of non deduction of TDS on payment of commission to non resident, it is pertinent to note that the assessee has failed to substantiate that the commission was accrued or arised outside India. Further, the assessee has also failed to furnish the necessary documents regarding the party to whom commission was paid has no permanent establishment in India. (Ⅲ) Regarding the issue of Form No 10DA, on verification of Form No....
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....263 of the Act. The Ld. AR in support of his claim relied on the order of Ahmedabad Tribunal in the case of National Dairy Development Board bearing ITA No. 215/Ahd/2022 and the order of the ITAT Cuttack Bench in the case of Shri Jyanta Kumar Jena v/s ITO reported in 36 taxmann.com 592. 6.1 The Ld. AR further submitted that there was no commission income accrued to the parties based in foreign countries and foreign parties don't have any permanent establishment in India. Therefore, the provisions of TDS are not applicable. 6.2 Likewise, the Ld. AR contended that the deduction u/s 80JJAA of the Act in earlier year was allowed and therefore the same cannot be disturbed in the year under consideration as the claim of the assessee falls durin....
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....estment (P)Ltd. reported in 152 taxmann.com 335 and judgment of Hon'ble SC in the case of CIT v/s Paville Projects (P.) Ltd. 8. We have heard the rival contentions of both the parties and perused the materials available on record. On perusal of the notice issued u/s 142(1) of the Act placed on pages 413 to 416 and 556 to 565 of the paper book and the replies made by the assessee thereto, we note that the following queries were raised by the AO during the assessment proceedings. I. "Purchase of Fixed Asset Your Honour's observation that Assessing Officer has not enquired or asked any question related to purchase of fixed assets and claim of depreciation is wrong. Your Honour's attention is drawn towards the notice dated 10/01/ ....
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....s and its treatment given in the books of accounts is enclosed as per Annexure 14. ************************************************************** 8. Details of the commission paid is enclosed as Annexure-8 in the format given. a. Agreement was made for Unisource Enterprise Pvt. Ltd. is attached as Annexure-9 for others no written agreement was executed. b. The relevant bank statements showing commission payment are enclosed as Annexure-9A. c. The copy of invoices raised in respect of commission paid are attached as Annexure-10. d. Against the commission paid the assessee has obtained the sale order in respect of products manufactured. The relevant sale invoices are enclosed in Annexure-10 above. 8.1 On perusal of the abo....