DR. PARTHA BISWAS,KOLKATA vs. JCIT, RANGE - 55, KOLKATA , KOLKATA

- This assessee’s appeal for assessment year 2011-12 arises against Commissioner of Income Tax (Appeals)-6, Kolkata’s order dated 07.03.2017, passed in case No.135/CIT(A)-6/Kol/14-15 upholding Assessing Officer’s action disallowing addition his salary payment made to Dr. Shule Kumar of ₹62,000/- as well as depreciation of car and driver salary @ 20% coming to ₹28,204; respectively, involving proceedings u/s 143(3) of the Income Tax Act, 1961; in short ‘the Act’.

We come to former issue of section 40(a)(ia) disallowance of ₹62,000/-. The assessee had admittedly paid the impugned sum in the months of June to November, 2010 @ ₹10,000/- per month for four months and ₹ 11,000/- each for two months. He did not deduct TDS thereupon by treating the same to be in the nature of salary. Both the lower authorities have rejected his claim in absence of employee-employer relationship to treat the sum in question as fee in lies of availing professional services. They conclude that payee doctor had in fact assisted the assessee rather than having