2026 (3) TMI 1418

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....j, learned Senior Standing Counsel for the appellants, and Sri S. Sriranga, learned Senior Counsel appearing for Smt. Sumana Naganada, learned counsel for the respondent. 2. This intra-Court appeal by the Revenue calls in question the order dated 25.03.2024 passed in W.P. No. 51223/2019. 3. The respondent-assessee filed the return of income for the assessment year 2016-17 on 17.10.2016. The return of income was selected for scrutiny and a notice under Section 143(2) of the Income Tax Act, 1961 (for short, 'the Act') was issued and served. The Assessing Officer called for an explanation, inter alia, with regard to the non-deduction of TDS on payments made to horse trainers. Upon considering the explanation offered, the assessment came ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ed that for the assessment year 2016-17, the entire payments were treated as the revenue of the respondent and the payments made to horse trainers were disallowed on the ground of non-deduction of TDS. It is submitted that the non-disclosure of income in respect of payments made to horse trainers amounts to failure to disclose true and full material facts and would satisfy the requirement of Section 147 of the Act. It is therefore contended that the order of the learned Single Judge has been passed without considering the material found during the course of scrutiny assessment for the assessment year 2016-17 in the case of the assessee. 6. Per contra, Sri S. Sriranga, learned Senior Counsel appearing on behalf of Smt. Sumana Naganand, le....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e assessment year 2012-13 is on record. The assessee had filed the return of income and the same was selected for scrutiny. The assessment was completed on 27.03.2015 under Section 143(3) of the Act. The Assessing Officer has dealt with the issue of non-deduction of TDS in respect of payments made to horse owners as stake money, among other issues. The payments made to horse owners as stake money were disallowed by invoking Section 40(a)(i) of the Act. 7.2 Similarly, the assessment order for the assessment year 2016-17 is also placed on record. The Assessing Officer examined the issue of non-deduction of tax on stake money as well as the non-deduction of TDS on payments made to horse trainers. The Assessing Officer treated the money rece....