ITO (TDS) 3(2), MUMBAI V. SHAH BUILDERS & DEVELOPERS, NAVI MUMBAI

ITA 4609/MUM/2012

• Counselvise Citation: 460919914 RSA 2012
• Duration Of Justice: 1 year(s) 1 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-08-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2008-2009
• Appeal Filed On: 06-07-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: T R PAITE
• Assessee Lawyers: BHUMIKA VORA
• Keywords: Maximum Marginal Rate; Capital expenditure
• Section: 37(1); 201(1)

Judgement Text

E IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, MUMBAI .. , !'# $ $ $ $ %&. !.'.. $( ) !'# !* BEFORE SHRI P.M. JAGTAP, AM AND DR. S.T.M. PAVALAN, JM !./ I.T.A. NO. 4609 /MUM/2012 ( )( , $-, )( , $-, )( , $-, )( , $-, / / / / ASSESSMENT YEAR : 2008-09) INCOME TAX OFFICER (TDS) 3(2), R.NO. 910, 9 TH FLOOR, SMT K.G. MITTAL AYURVEDIC HOSPITAL BUILDING, CHARNI ROAD (W), MUMBAI 400 002. ( ( ( ( / VS. M/S SHAH BUILDERS & DEVELOPERS, 323-329, ARNEJA CORNER, PLOT NO. 71 SECTOR 17, VASHI, NAVI MUMBAI 400 705 #. !./ PAN : AATFS0744C ( ./ / // / APPELLANT ) .. ( 01./ / RESPONDENT ) !./ I.T.A. NO. 4610 /MUM/2012 ( )( , $-, )( , $-, )( , $-, )( , $-, / / / / ASSESSMENT YEAR : 2009-10 INCOME TAX OFFICER (TDS) 3(2), R.NO. 910, 9 TH FLOOR, SMT K.G. MITTAL AYURVEDIC HOSPITAL BUILDING, CHARNI ROAD (W), MUMBAI 400 002. ( ( ( ( / VS. M/S SHAH BUILDERS & DEVELOPERS, 323-329, ARNEJA CORNER, PLOT NO. 71 SECTOR 17, VASHI, NAVI MUMBAI 400 705 #. !./ PAN : AATFS0744C ( ./ / // / APPELLANT ) .. ( 01./ / RESPONDENT ) ITA 4609 TO 4613/M/12 2 !./ I.T.A. NO. 4611 /MUM/2012 ( )( , $-, )( , $-, )( , $-, )( , $-, / / / / ASSESSMENT YEAR : 2008-09) INCOME TAX OFFICER (TDS) 3(2), R.NO. 910, 9 TH FLOOR, SMT K.G. MITTAL AYURVEDIC HOSPITAL BUILDING, CHARNI ROAD (W), MUMBAI 400 002. ( ( ( ( / VS. M/S SHAH BUILDERS & DEVELOPERS, 323-329, ARNEJA CORNER, PLOT NO. 71 SECTOR 17, VASHI, NAVI MUMBAI 400 705 #. !./ PAN : AATFS0744C ( ./ / // / APPELLANT ) .. ( 01./ / RESPONDENT ) !./ I.T.A. NO. 4612 & 4613 /MUM/2012 ( )( , $-, )( , $-, )( , $-, )( , $-, / / / / ASSESSMENT YEARS : 2009-10 & 2010-11) INCOME TAX OFFICER (TDS) 3(2), R.NO. 910, 9 TH FLOOR, SMT K.G. MITTAL AYURVEDIC HOSPITAL BUILDING, CHARNI ROAD (W), MUMBAI 400 002. ( ( ( ( / VS. M/S SHAH BUILDERS & DEVELOPERS, 323-329, ARNEJA CORNER, PLOT NO. 71 SECTOR 17, VASHI, NAVI MUMBAI 400 705 #. !./ PAN : AATFS0744C ( ./ / // / APPELLANT ) .. ( 01./ / RESPONDENT ) ./ 2 3 ! / APPELLANT BY : SHRI T.R. PAITE 01./ 2 3 ! / RESPONDENT BY : MS. BHUMIKA VORA ! ($ 2 / // / DATE OF HEARING : 12-08-2013 45- 2 / DATE OF PRONOUNCEMENT : 21-08-2013 ITA 4609 TO 4613/M/12 3 '6 / O R D E R PER P.M. JAGTAP, A.M. : .. , !'# THESE FIVE APPEALS ARE PREFERRED BY THE REVENUE AGA INST THE CONSOLIDATED ORDER PASSED BY THE LD. CIT(A) -14, MU MBAI DATED 27-04-2012 WHEREBY HE DISPOSED OF THE APPEALS FILED BY THE ASS ESSEE AGAINST TWO ORDERS OF THE A.O. DATED 30-3-2011 PASSED U/S 201(1)/201(1A) OF THE INCOME TAX ACT 1961 (THE ACT) ONE FOR ASSESSMENT YEARS 2008-09 & 2 009-10 AND THE OTHER FOR ASSESSMENT YEARS 2008-09, 2009-10 & 2010-2011. 2. ALTHOUGH THE REVENUE HAS RAISED AS MANY AS 12 ID ENTICAL GROUNDS IN THESE APPEALS, THE SOLITARY ISSUE ARISING OUT OF TH E SAME IS WHETHER THE ASSESSEE IS REQUIRED TO DEDUCT TAX AT SOURCE FROM T HE PAYMENT OF LEASE PREMIUM MADE TO CIDCO DURING THE YEARS UNDER CONSID ERATION U/S 194-I OF THE INCOME TAX ACT, 1961 (THE ACT). 3. THE RELEVANT FACTS OF THE CASE GIVING RISE TO TH ESE APPEALS ARE THAT THE ASSESSEE WAS ALLOTTED CERTAIN PLOTS OF LAND AT SECT OR 20 IN KHARGHAR, NAVI MUMBAI ON LEASE SUBJECT TO PAYMENT OF LEASE PREMIUM TO CIDCO. THE ASSESSEE WAS ALSO ALLOTTED CERTAIN PLOTS OF LAND IN SECTOR 12 IN KHARGHAR, NAVI MUMBAI ON LEASE SUBJECT TO PAYMENT OF LEASE PREMIUM TO CIDCO. AGAINST THE PLOTS OF LAND ALLOTTED AT SECTOR 20 IN KHARGHAR, NA VI MUMBAI, LEASE PREMIUM WAS PAID BY THE ASSESSEE TO CIDCO DURING THE PREVIO US YEAR RELEVANT TO A.Y. 2008-09 AND 2009-10. ACCORDING TO THE A.O., THE AS SESSEE WAS REQUIRED TO DEDUCT TAX AT SOURCE FROM THE PAYMENT OF LEASE PREM IUM MADE TO CIDCO AS PER THE PROVISIONS OF SECTION 194- I OF THE ACT AND SINCE NO SUCH TAX WAS DEDUCTED BY THE ASSESSEE FROM THE SAID PAYMENTS, HE ISSUED NOTICES TO THE ASSESSEE REQUIRING IT TO SHOW CAUSE AS TO WHY IT SH OULD NOT BE TREATED AS THE ITA 4609 TO 4613/M/12 4 ASSESSEE IN DEFAULT FOR ITS FAILURE TO DEDUCT THE T AX AT SOURCE FROM THE PAYMENT OF LEASE PREMIUM MADE TO CIDCO. SIMILARLY, THE PAYMENT OF LEASE PREMIUM TO CIDCO WAS MADE BY THE ASSESSEE DURING TH E PREVIOUS YEAR RELEVANT TO 2008-09, 2010-11 & 2011-12 AGAINST THE PLOTS OF LAND ALLOTTED AT SECTOR 12 IN KHARGHAR, NAVI MUMBAI WITHOUT DEDUCTIO N OF TAX AT SOURCE AND THEREFORE SHOW CAUSE NOTICE WAS ISSUED BY THE A.O. TO THE ASSESSEE FOR THE SAID DEFAULT. THE ASSESSEE FILED ITS REPLY TO SHOW CAUSE NOTICES ISSUED BY THE A.O. EXPLAINING ITS STAND ON THE ISSUE AND AFTER CO NSIDERING AND DISCUSSING THE SAME IN DETAIL, THE A.O. HELD THAT THE ASSESSEE WAS LIABLE TO DEDUCT TAX AT SOURCE FROM THE PAYMENT MADE TO CIDCO ON ACCOUNT OF LEASE PREMIUM DURING THE YEARS UNDER CONSIDERATION AND TREATED THE ASSES SEE IN DEFAULT FOR FAILURE TO DO SO FOR THE FOLLOWING REASONS GIVEN IN THE ORD ERS PASSED U/S 201(1) AND 201(1A) OF THE ACT: AT THE OUTSET, IT NEEDS TO BE MENTIONED THAT THE ASSESSEES REPRESENTATIVE HAS VEHEMENTLY CLAIMED THAT THE PAYM ENT REFERRED IN SHOW CAUSE DOES NOT BEAR THE CHARACTER OF RENT MENTIONED IN SECT. 1941 AND THEREFORE THERE IS NO REQUIREMENT OF DEDUCTION OF T AX FROM SUCH PAYMENT MADE TO CIDCO. THE PLOTS OF LAND UNDER QUESTION HAS BEEN GIVEN BY THE LESSOR TO THE ASSESSEE ON LEASE AND FOR WHICH IT HAS PAID THE PREMIUMS AS DETAILED EARLIER. THESE LUMP-SUM PAYMENTS MADE BY THE LESSEE I.E. M/S. SHAH BUILDERS & DEVELOPERS (ASSESSEE) HAVE BEEN MADE TO AVOID RECURRING PAYMENT BY INSTALMENTS BY THE ASSESSEE TO THE LESSOR. THE P AYMENT SO MADE BY THE ASSESSEE IS A RENT FOR ENJOYMENT AND OCCUPANCY OF T HE IMPUGNED LAND. THE ONE TIME PAYMENT DOES NOT CHANGE THE CHARACTER OF T HIS PAYMENT AND THEREFORE IT SQUARELY FALLS WITHIN THE PARAMETER OF SECTION 1941. THIS INFERENCE ALSO GATHERS SUPPORT FROM THE JUDICIAL PRONOUNCEMEN TS OF HONBLE KARNATAKA HIGH COURT IN THE CASE OF CIT V/S HMT LIMITED - 203 ITR 820 AND THAT OF HONBLE CALCUTTA HIGH COURT IN THE EASE OF BRAITHWA ITE & CO. (1) LTD. V/S CIT 111 ITR 542. BOTH THE HIGH COURTS IN THESE CASES HAVE RULED THAT LEASE PREMIUM PAID IN LUMP SUM IS NOTHING BUT THE RENT PA ID IN ADVANCE TO OBVIATE PERIODICAL PAYMENTS. GOING BY THE VERDICT OF THESE HONBLE HIGH COURTS, THE RULINGS ARE SQUARELY APPLICABLE TO THE FACTS OF THE INSTANT CASE. THEREFORE, THE OBLIGATION WAS CAST UPON THE ASSESSEE TO DEDUCT TAX AT SOURCE FROM THE LEASE PREMIUM PAID TO CIDCO AS PER THE PROVISIONS U/S 194 -I OF THE INCOME TAX ACT, 1961. IT IS FURTHER NECESSARY TO MENTION THAT ADMITTEDLY VIDE LEASE AGREEMENTS MADE IN RESPECT OF AFORESAID PLOTS OF LA ND, THE ASSESSEE HAS ACQUIRED RIGHT OF OCCUPANCY AND RIGHT OF ENJOYMENT OF THE IMPUGNED PLOT, AND PAYMENT MADE FOR AVAILMENT OF SUCH, RIGHT IS RENT A ND RENT ONLY AND NOTHING ELSE. BY CALLING IT BY SOME OTHER NAME AND NOMENCLA TURE DOES NOT CHANGE ITS ITA 4609 TO 4613/M/12 5 REAL CHARACTER I.E. RENT. THEREFORE THE SUM SO PAID BY THE ASSESSEE IS RENT AND THEREFORE SQUARELY REQUIRES APPLICATION OF SECT. 19 4- I. AT THIS JUNCTURE IT IS NECESSARY TO GO THROUGH THE EXPLANATION (I) TO SECT . 194-I WHICH PROVIDES DEFINITION OF WORD RENT FOR THE PURPOSE OF SECT. 194-I. FOR SAKE OF CONVENIENCE AND PROPER UNDERSTANDING THE RELEVANT PART OF EXPLA NATION (I) TO SECT. 194-I IS REPRODUCED HEREUNDER:- (I) RENT MEANS ANY PAYMENT, BY WHATEVER NAME CAL LED, UNDER ANY LEASE, SUB-LEASE, TENANCY OR ANY OTHER AGREEMENT OR ARRANGEMENT FOR THE USE OF (EITHER SEPARATELY OR TOGETHER) ANY (A) LAND; OR (B) TO (H) ----- WHETHER OR NOT ANY OR ALL OF THE ABOVE ARE OWNED BY THE PAYEE THE ASSESSEE CONVENIENTLY IGNORED TO READ THE CRUX OF THE DEFINITION OF RENT PROVIDED IN EXPLANATION (I) TO SECTION 194-I O F THE INCOME TAX ACT, 1961. THE DEFINITION HAS CLEARLY MENTIONED THAT THE PAYME NT MADE BY WHATEVER NAME CALLED AND FOR THE USE OF GETS COVERED BY T HE PROVISIONS OF SECTION 194- 1 OF THE INCOME TAX ACT, 1961. AS A RESULT, BY CALL ING LEASE RENT AS LEASE PREMIUM, DOES NOT CHANGE ITS REAL CHARACTER. THE NO MENCLATURE USED IN RESPECT OF SUCH LEASE PREMIUM PAYMENT IS NOT DECISI VE. HERE IT IS NECESSARY TO MENTION THAT THE LEGISLATURE HAS TAKEN DUE CARE OF SUCH SITUATIONS ARISING BY USAGE OF DIFFERENT TERMINOLOGY BY PROVIDING A COMPR EHENSIVE DEFINITION OF RENT IN THE SECTION ITSELF. IN THE LIGHT OF THE FACTS OF THE CASE, STATUTORY PR OVISIONS OF SECT. 194-I ESPECIALLY DEFINITION OF RENT PROVIDED IN EXPLANATI ON THERETO AND THE CASE LAWS CITED ABOVE THE UNDERSIGNED HAS NO SLIGHTEST HESIT ATION IN ARRIVING AT THE CONCLUSION THAT ASSESSEE WAS REQUIRED TO DEDUCT TAX U/S. 194-I AND PAY IT TO THE GOVT. TREASURY WITHIN THE STIPULATED TIME AS RE QUIRED BY PROVISIONS OF CHAPTER XVI1 B OF THE INCOME TAX ACT. ADMITTEDLY AS SESSEE HAS NOT COMPLIED WITH THE PROVISIONS OF SECTION 1941 AND THEREBY CHA PTER XVII B OF THE INCOME TAX ACT BY DEDUCTING THE TDS FROM THE LEASE RENT PA ID TO THE C1DCO AND NOT PAID IT TO THE GOVERNMENT TREASURY. AS A RESULT ASS ESSEE HAS COMMITTED DEFAULT WITHIN THE MEANING OF SECTION 201(1) AND TH EREBY IT IS AN ASSESSEE IN DEFAULT. 4. AGAINST THE ORDERS PASSED BY THE A.O. U/S 201(1) /201(1A) OF THE ACT, THE ASSESSEE FILED ITS APPEALS BEFORE THE LD. CIT(A ) AND ELABORATE SUBMISSIONS WERE MADE ON ITS BEHALF BEFORE THE LD. CIT(A) IN SU PPORT OF THE STAND THAT THE LEASE PREMIUMS PAID TO CIDCO NOT BEING IN THE NATUR E OF ADVANCE RENT WITHIN THE MEANING OF SECTION 194- I OF THE ACT, THE ASSES SEE WAS NOT LIABLE TO DEDUCT TAX AT SOURCE AND THEREFORE IT COULD NOT BE TREATED AS ASSESSEE IN DEFAULT U/S 201(1) & 201(1A) OF THE ACT. THE SAID SUBMISSIONS MADE ON BEHALF OF THE ITA 4609 TO 4613/M/12 6 ASSESSEE BEFORE HIM WERE FORWARDED BY THE LD. CIT(A ) TO THE A.O. FOR HIS COMMENTS. IN THE REMAND REPORT SUBMITTED TO THE LD . CIT(A), THE A.O. OFFERED HIS COMMENTS ON THE SUBMISSIONS MADE ON BEHALF OF T HE ASSESSEE. AFTER CONSIDERING THE SUBMISSIONS MADE ON BEHALF OF THE A SSESSEE AND THE COMMENTS OFFERED BY THE A.O. ON THE SAID SUBMISSION S IN THE REMAND REPORT AS WELL AS THE MATERIAL AVAILABLE ON RECORD, THE LD . CIT(A) FOUND THAT A SIMILAR ISSUE INVOLVING IDENTICAL FACTS AND CIRCUMSTANCES W AS CONSIDERED AND DECIDED BY HIM IN DETAIL VIDE HIS ORDER PASSED IN THE CASE OF NAVI MUMBAI SEZ PVT. LTD. ACCORDINGLY, FOLLOWING THE DECISION IN THE CAS E OF NAVI MUMBAI SEZ PVT. LTD. ON A SIMILAR ISSUE INVOLVING IDENTICAL FACTS, THE LD. CIT(A) HELD THAT THE PREMIUMS PAID BY THE ASSESSEE IN RESPECT OF LEASED PLOT OF LAND TO CIDCO DURING THE YEAR UNDER CONSIDERATION WAS NOT IN THE NATURE OF RENT AS CONTEMPLATED U/S 194-I OF THE ACT AND THE ASSESSEE WAS NOT REQUIRED TO DEDUCT TAX AT SOURCE FROM THE PAYMENT OF PREMIUMS M ADE TO CIDCO. THE DEMAND RAISED AGAINST THE ASSESSEE BY TREATING IT A S ASSESSEE IN DEFAULT VIDE ORDERS PASSED BY THE A.O. U/S 201(1) & 201(1A) OF T HE ACT FOR THE YEARS UNDER CONSIDERATION, THEREFORE, WAS CANCELLED BY THE LD. CIT(A). AGGRIEVED BY THE ORDERS OF THE LD. CIT(A), THE REVENUE HAS PREFERRED THESE APPEALS BEFORE THE TRIBUNAL. 5. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AN D ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. IT IS OBSERV ED THAT A SIMILAR ISSUE INVOLVED IN THE CASE OF SHREE NAMAN HOTELS PVT. LTD . & SHREE NAMAN DEVELOPERS LTD. HAS BEEN DECIDED BY THE TRIBUNAL I N FAVOUR OF THE ASSESSEE VIDE AN ORDER DATED 14-8-2013 PASSED IN ITA NO. 688 TO 691/MUM/2012 BY FOLLOWING THE DECISION OF THE CO-ORDINATE BENCH OF THIS TRIBUNAL RENDERED IN THE CASE OF M/S WADHWA & ASSOCIATES REALTORS PVT. L TD. VIDE ORDER DATED 3-7- 2013 PASSED IN ITA NO. 695/MUM/2012. IN THE CASE O F M/S WADHWA & ASSOCIATES REALTORS PVT. LTD. (SUPRA), A SIMILAR IS SUE WAS DECIDED BY THE ITA 4609 TO 4613/M/12 7 TRIBUNAL IN FAVOUR OF THE ASSESSEE FOR THE FOLLOWIN G REASONS GIVEN IN PARA 9 TO 10 OF ITS ORDER DATED 3-7-2013 (SUPRA):- 9. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS, PERUS ED THE ORDER OF THE LOWER AUTHORITIES AND THE MATERIAL EVIDENCE BRO UGHT ON RECORD IN THE FORM OF PAPER BOOK AND THE JUDICIAL DECISIONS R ELIED UPON BY THE RIVAL PARTIES. THE ENTIRE GRIEVANCE REVOLVES AROUN D THE PREMIUM PAID BY THE ASSESSEE TO M/S. MMRDA LTD. FOR THE LEASEHOL D RIGHTS ACQUIRED BY THE ASSESSEE THROUGH THE LEASE DEED DT. 22 ND NOVEMBER, 2004. IT IS THE SAY OF THE REVENUE THAT THIS LEASE PREMIUM WAS LIABLE FOR DEDUCTION OF TAX AT SOURCE FAILING WHICH THE ASSESSEE IS TO B E TREATED AS ASSESSEE IN DEFAULT. IT IS THE SAY OF THE ASSESSEE THAT SUC H LEASE PREMIUM IS IN THE NATURE OF CAPITAL EXPENDITURE AND THEREFORE THE RE IS NO QUESTION OF DEDUCTION OF TAX AT SOURCE. FURTHER, THE SAID LEAS E PREMIUM DOES NOT COME WITHIN THE PURVIEW OF THE DEFINITION OF RENT A S PROVIDED U/S. 194-1 OF THE ACT. 10. WE HAVE CAREFULLY PERUSED THE LEASE DEED AS EXH IBITED FROM PAGE- 1 TO 42 OF THE PAPER BOOK. A CAREFUL READING OF TH E SAID LEASE DEED TRANSPIRES THAT THE PREMIUM IS NOT PAID UNDER A LEA SE BUT IS PAID AS A PRICE FOR OBTAINING THE LEASE, HENCE IT PRECEDES TH E GRANT OF LEASE. THEREFORE, BY ANY STRETCH OF IMAGINATION, IT CANNOT BE EQUATED WITH THE RENT WHICH IS PAID PERIODICALLY. A PERUSAL OF THE RECORDS FURTHER SHOW THAT THE PAYMENT TO MMRD IS ALSO FOR ADDITIONAL BUI LT UP ARE AND ALSO FOR GRANTING FREE OF FSI AREA, SUCH PAYMENT CANNOT BE EQUATED TO RENT. IT IS ALSO SEEN THAT THE MMRD IN EXERCISE OF POWE R U/S. 43 R.W. SEC. 37(1) OF THE MAHARASHTRA TOWN PLANNING ACT 1966, M RTP ACT AND OTHER POWERS ENABLING THE SAME HAS APPROVED THE PRO POSAL TO MODIFY REGULATION 4A(II) AND THEREBY INCREASED THE FSI OF THE ENTIRE G BLOCK OF BKC. THE DEVELOPMENT CONTROL REGULATIONS FOR BKC S PECIFY THE PERMISSIBLE FSI. PURSUANT TO SUCH PROVISIONS, THE ASSESSEE BECAME ENTITLED FOR ADDITIONAL FSI AND HAS FURTHER ACQUIRE D/PURCHASED THE ADDITIONAL BUILT UP AREA FOR CONSTRUCTION OF ADDITI ONAL AREA ON THE AFORESAID PLOT. THUS THE ASSESSEE HAS MADE PAYME NT TO MMRD UNDER DEVELOPMENT CONTROL FOR ACQUIRING LEASEHOLD LAND A ND ADDITIONAL BUILT UP AREA. THE DECISIONS OF THE TRIBUNAL IN THE CASE OF M/S. NATIONAL STOCK EXCHANGE (SUPRA) AND MUKUND LTD (SUPRA) HAVE BEEN WELL DISCUSSED BY THE LD. CIT(A) IS HIS ORDER. THE DECI SION OF THE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF KHIMLINE PUMPS LTD. (SUPRA) SQUARELY AND DIRECTLY APPLY ON THE FACTS OF THE CAS E WHEREIN THE HONBLE JURISDICTIONAL HIGH COURT HAS HELD THAT PAYMENT FOR ACQUIRING LEASEHOLD LAND IS A CAPITAL EXPENDITURE. CONSIDERI NG THE ENTIRE FACTS IN TOTALITY IN THE LIGHT OF THE JUDICIAL DECISIONS VIS --VIS PROVISIONS OF SEC. 194-1, DEFINITION OF RENT AS PROVIDED UNDER THE SAI D PROVISION, WE DO NOT FIND ANY REASON TO TAMPER OR INTERFERE WITH THE FIN DINGS OF THE LD. CIT(A) WHICH WE CONFIRM. ITA 4609 TO 4613/M/12 8 6. AS THE ISSUE INVOLVED IN THE PRESENT CASE AS WEL L AS ALL THE MATERIAL FACTS RELEVANT THERETO ARE SIMILAR TO THE CASE OF WADHWA & ASSOCIATES REALTORS PVT. LTD. (SUPRA) AS WELL AS SHREE NAMAN HOTELS PVT. LTD . & SHREE NAMAN DEVELOPERS LTD. (SUPRA) DECIDED BY THE TRIBUNAL, WE RESPECTFULLY FOLLOW THE DECISIONS RENDERED IN THE SAID CASES BY THE CO-ORDI NATE BENCH OF THIS TRIBUNAL AND UPHOLD THE IMPUGNED ORDER OF THE LD. CIT(A) HOL DING THAT THE LEASE PREMIUM PAID BY THE ASSESSEE TO CIDCO NOT BEING IN THE NATURE OF RENT AS CONTEMPLATED IN SECTION 194-I OF THE ACT, THE ASSES SEE WAS NOT LIABLE TO DEDUCT TAX AT SOURCE FROM THE SAID PAYMENT AND HENCE COULD NOT BE TREATED AS THE ASSESSEE IN DEFAULT U/S 201(1) & 201(1A) OF THE ACT . THE APPEALS FILED BY THE REVENUE ARE ACCORDINGLY DISMISSED. 7. IN THE RESULT, APPEALS OF THE REVENUE ARE DISMIS SED. ORDER PRONOUNCED IN THE OPEN COURT ON 21 ST AUGUST, 2013. . '6 2 45- 7'(8 21-08-2013 5 2 SD/- SD/- (DR. S.T.M. PAVALAN) (P.M. JAGTAP ) ) !'# JUDICIAL MEMBER !'# / ACCOUNTANT MEMBER MUMBAI ; 7'( DATED 21-08-2013 $.)(.!./ RK , SR. PS ITA 4609 TO 4613/M/12 9 '6 2 0)9: ;:- '6 2 0)9: ;:- '6 2 0)9: ;:- '6 2 0)9: ;:-/ COPY OF THE ORDER FORWARDED TO : 1. ./ / THE APPELLANT 2. 01./ / THE RESPONDENT. 3. < () / THE CIT(A)- CONCERNED, MUMBAI 4. < / CIT CONCERNED, MUMBAI 5. :$? 0))( , , / DR, ITAT, MUMBAI E BENCH 6. %, @ / GUARD FILE. '6(! '6(! '6(! '6(! / BY ORDER, !1: 0) //TRUE COPY// A A A A/ // /!B !B !B !B ( DY./ASSTT. REGISTRAR) , , , , / ITAT, MUMBAI