Section 194 C : Not Applicable in case of Legal Obligation

Sum paid on account of legal obligations instead of contractual agreement isn't subject to sec. 194C TDS

IN THE ITAT AMRITSAR BENCH

Executive Officer

v.

Income-tax Officer TDS-II, Jalandhar

PRAMOD KUMAR, ACCOUNTANT MEMBER
AND A.D. JAIN, JUDICIAL MEMBER

IT APPEAL NOS. 40 TO 43 (ASR.) OF 2015
[ASSESSMENT YEARS 2007-08 TO 2010-11]

JUNE  10, 2015 

Payment made to Punjab Water Supply and Sewerage Board which arose out of legal obligations rather than any contractual agreements couldn’t be subjected to TDS under section 194C