Sum paid for hiring of truck without TDS shall be allowable even on submission of Forms 15-I and 15J belatedly: ITAT

IT: Where assessee, a transport contractor, engaged outside trucks and made payment towards hire charges without deduction of tax at source, though assessee submitted Form Nos. 15-I and 15J to Commissioner belatedly, due credit be given to claim of assessee in terms of said forms2013] 36 taxmann.com 229 (Hyderabad - Trib.)

IN THE ITAT HYDERABAD BENCH 'B'

Associated Roadways (P.) Ltd.

v.

Deputy Commissioner of Income-tax, Circle-1(1)*

CHANDRA POOJARI, ACCOUNTANT MEMBER
AND SMT. ASHA VIJAYARAGHAVAN, JUDICIAL MEMBER

IT Appeal No. 63 (Hyd.) of 2013
[ASSESSMENT YEAR 2009-10]

MAY  20, 2013 

Section 194C, read with section 40(a)(ia), of the Income-tax Act, 1961 - Deduction of tax at source - Contractors/sub-contractors, payments to [Transporters] - Assessment year 2009-10 - Assessee, a transport contractor, for carrying out business also engaged outside trucks - It paid an amount of Rs. 3.94 crores as hire charges to lorry owners and claimed deduction of same - On said amount, assessee did not deduct tax at source on ground that lorry owners had undertaken to submit Form No. 15-I - It received from lorry owners Form No. 15-I to extent of Rs. 3.06 crores only and submitted same along with Form No. 15J to Commissioner belatedly on 7-2-2011 - Assessing Officer held that as Form Nos. 15-I and 15J were filed by assessee after prescribed date and payment towards hire charges was made without having Form No. 15-I, there was a default under section 194C - He also examined correctness of Form No. 15-I and having noticed that same was not responded by concerned person disallowed entire payment of hire charges by applying provisions of section 40(a)(ia) - Commissioner (Appeals) held that Form No. 15-I to extent of Rs. 3.06 crores was complete in all respects, but he did not accept same on ground that assessee did not file Form No. 15J within prescribed time - Whether filing of Form No. 15J belatedly could not be a reason to deny deduction claimed by assessee - Held, yes - Whether since Form No. 15-I was duly filled in, due credit be given to claim of assessee in terms of Form Nos. 15-I and 15J filed by it - Held, yes