The Tribunal held that the deduction of tax at source was not in the nature of the Income-tax which was required to be paid on profits and gains chargeable to tax under section\u00a028\u00a0of the Act and thus was not disallowable under section\u00a040(a)(ii)\u00a0of the Act. The consequent interest paid under section\u00a0201(1A)\u00a0of the Act upon late payment of tax deduction at source also could not be disallowed under section\u00a040(a)(ii)\u00a0of the Act. Therefore, the disallowance of interest paid on belated payment of tax deducted at source was\u00a0 deleted. (AY.\u00a0 2014-15)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 40(a)(ii) : Amounts not deductible-Rates or tax-Deduction of tax at source is not in nature of Income-Tax-Interest paid upon late payment of deduction of tax at source cannot be disallowed. [S. 28, 37(1), 199, 201(1a)]<\/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-35980","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-9mk","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35980","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=35980"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35980\/revisions"}],"predecessor-version":[{"id":35981,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35980\/revisions\/35981"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=35980"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=35980"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=35980"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}