M/s. Indoworth India Ltd. v/s Asstt. Commissioner of Income Tax (TDS)

Parties Involved

Facts Summary

The assessee, M/s. Indoworth India Ltd., filed appeals against the orders passed by the Commissioner of Income Tax (Appeals) and the ACIT (TDS) for the assessment years 2012-13 and 2013-14. The assessee challenged the orders on the grounds that they were illegal, incorrect, and without natural justice. The assessee also argued that the TDS demand was time-barred as per section 201(3) of the Financial Act, 2012. The assessee claimed that the non-deduction of TDS and interest on share application money was incorrect and illegal. The assessee prayed for the deletion of the non-deduction TDS and interest or appropriate relief. The Tribunal considered the submissions and found that the delay in filing the appeal was due to reasonable and sufficient cause. The Tribunal admitted the appeal for adjudication on merit. The Tribunal found that the assessee was not liable for TDS on contingent provisions for expenses and that the orders were time-barred. Consequently, the Tribunal set aside the impugned orders and allowed the appeals.…

Legal Issues

• 1. Whether the order passed by the learned CIT(A) is illegal, incorrect, bad in law and without natural justice?
• 2. Whether the order passed by AO is TDS demand is time barred as per section 201(3) the Financial Act, 2012?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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