Inter Globe Aviation Ltd. v. ACIT (2020) 181 ITD 225/ 194 DTR 81 / 207 TTJ 191 (Delhi) (Trib.)

S. 194H : Deduction at source – Commission or brokerage – Credit card gateway facility – On line booking of tickets- Not liable to deduct tax at source as charges taken by bank and credit card agencies for providing facilities .

Assessee airline had entered into an agreement with various banks and other entities to avail credit card gateway services under a non-exclusive agreement for online booking of tickets by its passengers using credit cards.  The Appellate Tribunal held that the  assessee was not required to deduct tax at source on charges taken by bank and credit card agencies for providing such facility to assessee.   (AY. 2010 -11, 2011-12)