The AO disallowed the expenditure for non-deduction of tax at source on certain expenses.\u00a0 On appeal the assessee was granted certain relief. Order of Tribunal was affirmed by the Supreme Court. The assessee filed rectification application under section 154\u00a0 claiming relief under second proviso to section 40(a)(ia). It had filed all necessary documents to Assessing Officer evidencing facts regarding applicability of second proviso to payments disallowed u\/s. 40(a)(ia) of the Act. The AO denied the relief.CIT(A) affirmed the order of the AO.On appeal\u00a0 the assessee relied on the judgement of the \u00a0Gujarat High Court in case of Pr. CIT v. Arvind Lifestyle Brands Ltd., R\/Tax Appeal No. 539 of 2019, order dated 05-08-2019 had categorically held that second proviso to Section 40(a)(ia) which was introduced on Statute by Finance Act, 2012, with effect from 01-04-2013 was retrospective in operation and was curative in nature. Tribunal held that \u00a0Revenue had not controverted \u00a0position of law as laid down by jurisdictional High Court. Accordingly \u00a0the application filed by assessee u\/s. 154 seeking benefit of second proviso to section 40(a)(ia) is \u00a0entertained and allowed since assessee had pointed out a mistake apparent from record. (AY. 2005-06)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 154 : Rectification of mistake-Mistake apparent from the record-Amounts not deductible-Deduction at source-Second proviso to section 40(a)(ia) which came into effect from 01-04-2013 was retrospective in operation-Jurisdictional High Court-Rectification application is allowed.[S.40(a)(ia)] <\/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-49897","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-cYN","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49897","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=49897"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49897\/revisions"}],"predecessor-version":[{"id":49898,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/49897\/revisions\/49898"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=49897"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=49897"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=49897"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}