EIH Ltd., New Delhi V. ITO, Delhi

ITA 401/DEL/2015

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 7019 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 5 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-07-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 2
• Next Hearing Date: 11-07-2016
• Assessment Year: misc
• Appeal Filed On: 20-01-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 201(1); 15

Judgement Text

INCOME TAX APPELLATE TRIBUNAL DELHI BENCH SMC-II: NEW DELHI BEFORE SHRI P.K.BANSAL, ACCOUNTANT MEMBER ITA NO.:- 401/DEL /2015 ASSESSMENT YEAR: 2011-12 EIH LTD. UNIT: HOTEL THE OBEROI, 15, DR. ZAKIR HUSSAIN MARG NEW DELHI 110 003. PAN AAACE6898B VS. ITO TDS WARD-49(3) DISTT. CENTRE, LAXMI NAGAR DELHI 110 092 (APPELLANT) (RESPONDENT) O R D E R THIS APPEAL HAS BEEN FILED BY THE ASSESEE AGAINST THE ORDER OF THE LD. CIT(A) DATED 11.11.2014. 2. ASSESSEE EVEN THOUGH HAS TAKEN AS MANY AS SEVEN GROUNDS OF APPEAL BUT THE ONLY ISSUE INVOLVED IN THE GROUND TA KEN BY THE ASSESSEE IS WHETHER THE ASSESSEE WAS LIABLE TO DEDUCT TDS UN DER THE PROVISION OF SECTION 192 ON THE CREDIT TIPS RECOVERED FROM THE H OTEL GUEST. ASSESSEE BY : SHRI KHIRENDRA MOHAN GUPTA , CA DEPARTMENT BY : SHRI S.K. MISHRA , SR. D R DATE OF HEARING 11/07 /2016 DATE OF PRONOUNCEMENT 12 /07 /2016 ITA NO. 401/DEL/2015 2 3. AFTER GIVING THE RIVAL SUBMISSION AND GOIN G THROUGH THE ORDERS OF THE AUTHORITIES BELOW THIS ISSUE IN MY OPINION IS N O MORE RES-INTEGRA IN VIEW OF THE DECISION OF THE HONBLE SUPREME COURT IN THE CASE ITC LTD. VS. CIT(TDS) 68 TAXMAN.COM 323 (SC) IN WHICH THE SU PREME COURT HELD THAT CONTRACT OF EMPLOYMENT NOT BEING PROXIMATE CAU SE FOR RECEIPT OF TIPS BY EMPLOYEE FROM A CUSTOMER, SAME WOULD BE OUT SIDE DRAGNET OF SECTION 15 AND 17 U/S 201(1A), INTEREST CAN ONLY BE LEVIED WHEN THE PERSON IF DECLARED AS AN ASSESSEE IN DEFAULT. THE A SSESSEES LIABILITY IN THE PRESENT CASE ARE OUTSIDE SECTION 192. THEREFORE IT CAN NOT HOLD ASSESSEE TO BE IN DEFAULT. IN VIEW OF THE SAID DECI SION OF THE HONBLE SUPREME COURT, I QUASH THE ORDER OF THE AO PASSED U /S 201(1) / U/S 201(1A). 4. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS A LLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 12/07/2016. SD/- (P.K. BANSAL) ACCOUNTANT MEMBER DATED: 12/07/2016 *VEENA * COPY FORWARDED TO 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT (A) ITA NO. 401/DEL/2015 3 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI