Allowed
Commissioner of Income Tax v. Jose P.Simon
Kerala HCWA/1819/2014
Case brief
AI extract
What is this about?
Appeals against a Single Judge order exempting tax deduction at source on compensation paid through negotiated settlements. The High Court held that once acquisition proceedings are initiated, the nature remains compulsory regardless of settlement, making TDS mandatory under Section 194LA.
What did the court decide?
Impugned judgment restraining TDS is set aside; TDS under Section 194LA is applicable to negotiated settlement amounts post-acquisition initiation.