2025 (2) TMI 1753

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.....2019 passed by the Assistant Commissioner of Income Tax, Circle - 16(2), Delhi [hereinafter referred as 'Ld. AO'] under section 143(3) of the Act for the Assessment Year 2017-18. 2. Brief facts of the case are that assessee/appellant electronically filed return of income on 30.11.2017 declaring loss of Rs. 1,23,79,675/-. The case was selected for complete scrutiny under CASS. Notice under section 143(2) of the Act dated 19.09.2018 was issued. Notice under section 142(1) of the Act along with questionnaire was issued. Assessee-company furnished relevant details/documents through e-filing portal. On completion of assessment proceedings, learned AO vide order dated 27.12.2019 made additions of Rs. 1,27,43,326/- on account of disallowance o....

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.... Mohan Meakin Ltd. vs. CIT. Learned CIT(A) with regard to ESOP disallowance relied upon the order of Special Bench of Hon'ble ITAT, Bangalore in case of M/s. Biocon Ltd. vs. DCIT and referred the order of Hon'ble ITAT, Delhi in case of assessee-company for A.Y. 2016-17. Learned CIT(A) with regard to disallowance under section 40(a)(i) referred the order of Hon'ble ITAT, Delhi in case of assessee-company for A.Y. 2016-17. Learned CIT(A) with regard to interest on refund relied upon the ICDS and deleted the addition made by the learned Assessing Officer on the ground that it was received and disclosed in the next assessment year. 7. From examination of record in light of aforesaid rival contentions, it is crystal clear that learned CIT(A) ....

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....at the appellant was not liable to deduction TDS on the remittances by virtue of Articles of DTAA entered into by the Government of India with respective countries. 5.3.7 In view of the aforesaid order of the hon'ble ITAT it is held that the Applicant was not liable to deduct TDS on the remittarices made to entities of Malesia and Bangladesh. Further, the ratio laid down by the Hon'ble ITAT is equally applicable to the payments made to the entities in UK, China and Hong Kong by virtue of similar DTAA entered into by the Government of India with these countries. Further, it is settled principle of law that the liability of TDS is not there on the reimbursement of expenses. 5.3.8 In view of the above, it is ....