The Revenue filed a Tax Case Appeal challenging the Tribunal's order regarding TDS on commission paid to a non-resident. The Court noted a Circular restricting appeals where tax effect is under Rs. 50 lakhs and dismissed the appeal as not pressed.
Appeal dismissed as not pressed; substantial questions of law kept open.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 06.03.2019
CORAM
THE HON'BLE DR.JUSTICE VINEET KOTHARI AND
THE HON'BLE MR.JUSTICE C.V.KARTHIKEYAN
Tax Case Appeal No. 872 of 2009
Commissioner of Income Tax Chennai. Appellant / Appellant
Vs.
M/s. Venkat Shoes Private Limited 47, Thiruvangadam Street, Periamet Chennai – 600003 Respondent/Respondent -----
Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, Madras 'C' Bench, Chennai, dated 06.03.2009 made in ITA No.996/Mds/2008, against the order of Commissioner of Income Tax (Appeals)-VIII, Chennai made in ITA No.283/2007-08 dated 21/02/2008 against the order of Assistant Commissioner of Income Tax Company circle III (4) Chennai in GIR No/PAN No.255-VAABCV 2878B dated 28/09/2007.
For Respondent : Mr.M.P.Senthil Kumar
This Tax Case Appeal has been filed by the Revenue calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, by raising the following substantial questions of law:
"(i) Whether on the facts and circumstances of the case, the Tribunal was right in holding that tax need not be deducted at source on the payment of
commission made to a non resident, who is not a company?;
(ii) Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee was right in not deducting tax at source on its own, deciding that there is no element of taxable income in the amount paid to the foreign party, contrary to the judgement of the Supreme court in the case of Transmission Corporation of Andhra Pradesh Limited., (239 ITR 587)?"
Sd/Assistant Registrar //True Copy// Sub Assistant Registrar
To
+1cc to Mr.Philip George, Advocate Sr.20802 +1cc to Mr.M.Swaminathan, Advocate Sr.21009
Tax Case Appeal No. 872 of 2009
rgn[co]
srg 04/06/2019
2 issues framed by the court
Whether tax need to be deducted at source on payment of commission made to a non-resident who is not a company.
Whether the Tribunal was right in holding that there is no taxable income element in the amount paid to a foreign party.
Colour shows how this judgement treated each authority
Transmission Corporation of Andhra Pradesh Limited., (239 ITR 587)Referred¶13
1 provisions across 1 enactments
Commissioner of Income Tax Chennai
M/s. Venkat Shoes Private Limited
VINEET KOTHARI
C.V.KARTHIKEYAN
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
