The AO held that failure to deduct the whole or any part of the tax entails disallowance, the assessee having failed to deduct tax as required under the provisions of section 194C the  disallowed the expenses , which is affirmed by the CIT (A) . On appeal the Tribunal held that the disallowance under section 40(a)(ia) did not apply in a case involving short deduction of tax at source.( AY.2009-10)