TaxTMI 
TaxTMI 
2025 (8) TMI 693
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....st the order u/s 201(1) and 201(1A) of the Act, dated 14.03.2022. 2. The assessee is in appeal before the Tribunal raising the following grounds of appeal: "1. On the facts and circumstances of the case and in law the Ld. CIT (A) erred in confirming the action of the A.O. by raising demand under section 201(1) of the Income Tax Act of Rs. 5,58,641 without appreciating the fact that all PAN of the deductees filed during the course of assessment proceedings and provision of section 194C(6) had been complied with. Hence demand raised of Rs. 5,58,641/- under section 201(1) is illegal has to be deleted. 2. On the facts and circumstances of the case and in law the Ld. CIT (A) erred in confirming the action of the A.O. by char....
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....d limit u/s 194C of the Income Tax Act, 1961, the proceedings u/s 201(1) and 201(1A) of the Act were initiated. It was also found by the Ld. AO that M/s. Rita Transport was itself providing its truck/goods carriage to Eastern Coal Field (ECL) and was acting as middle man/petty contactor between Eastern Coalfield Limited and other 6 Transporters and the margin amount (commission) was kept by the assessee. Thus, there was default for non-deduction of TDS u/s 194C on the lease of trucks to the tune of remaining amount of Rs. 5,85,84,155/- and consequently the order was passed. Aggrieved with the order of the Ld. AO, the assessee preferred an appeal before the Ld. CIT(A), who vide order dated 06.02.2025 dismissed the appeal. The relevant extrac....
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....tended that these payments are covered under the Proviso to section 201(1) of the Act and therefore, it can not be treated as assessee in default in respect of these payments The said Proviso to section 201(1) provides as under- "Provided that any person, including the principal officer of a company, who fails to deduct the whole or any part of the tax in accordance with the provisions of this Chapter on the sum paid to a payee or on sum credited to the account of a payee shall not be deemed to be an assessee in default in respect of such tax if such payee- 1. has furnished his return of income under section 139 2. has taken into account such sum for computing income in such return of income, and ....
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....sessee has sufficient evidence and the required certificates in support of the claim that no further TDS was liable to be deducted. 5. We have considered the submissions made, gone through the facts of the case and perused the record and the order of the Ld. CIT(A). We find that at both before the Ld. AO as well as before the Ld. CIT(A) in the appeal, proper representation was not made on behalf of the assessee. The Ld. AR requested that the matter may be remitted to the Ld. AO while the Ld. DR supported the order of the Ld. CIT(A). After considering the facts of the case, we deem it appropriate in the interest of justice and fair play that another opportunity needs to be provided to the assessee to represent his case properly before the....