Assessee a building contractor for construction and capitalised expenditure, not claiming it as a revenue deduction. Assessing Officer processed the return under section 143(1) and made an adjustment of Rs. 61.95 lakhs, disallowing 30% of the sum under section 40(a)(ia) for non-deduction of TDS under section 194C. Assessee contended that the adjustment was unwarranted as the expenditure was capitalised and no deduction was claimed. Tribunal held that only expenditures allowable under sections 30 to 38 can be disallowed for non-deduction of tax at source. Since payment to the building contractor was a capital expenditure and not claimed as a deduction, no disallowance could be made in intimation under section 143(1)(a). (AY. 2019-20)