Dismissing the appeal of the revenue the Tribunal held that,\u00a0 Scheduled tribes are exempt from the provisions of the Act by virtue of section\u00a010(26)\u00a0of the Act. As a result, there was no occasion to deduct tax at source on the sum payable to them. No disallowance\u00a0 can be made for failure to deduct tax at source. As regards other payments\u00a0\u00a0 if\u00a0 payees had included the receipts in their computation of total income and return of income, it would be sufficient compliance with the provisions requiring deduction of tax at source and no disallowance should be made under section\u00a040(a)(ia)\u00a0of the Act. Matter remanded. (AY. 2013-14)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 40(a)(ia) : Amounts not deductible-Deduction at source-Scheduled Tribes-Not liable to deduct tax at source as the receipt is not taxable in their hands-Payments to other persons matter remanded to the AO to verify whether payees had included receipts in computation of their total income. [S. 10(26), 195(7)]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-17982","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-4G2","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17982","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=17982"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17982\/revisions"}],"predecessor-version":[{"id":17983,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17982\/revisions\/17983"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=17982"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=17982"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=17982"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}