Assessee, a State Government undertaking, was mainly engaged in work of storage and maintenance of warehouse for food grains procured by FCI and other local agencies.  During relevant year, assessee paid rent to Krishi Upaj Mandi Samiti without deducting tax at source. Assessing Officer, thus, treated assessee as assessee in default. Tribunal held that since payee i.e. Krishi Upaj Mandi Samiti, was a State Government Undertaking and its income was exempt under section 10(26AAB), assessees could not be treated as assessee in default for non-deduction of tax under section 194-I on rent paid. (AY. 2011-12)