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Income Tax Appellate Tribunal, DELHI BENCHES : SMC-3 : NEW DELHI
Before: SHRI J. SUDHAKAR REDDY
ORDER This appeal filed by the assessee is directed against the order of the CIT(A) dated 14.10.2014 for the assessment year 2007-08.
The addition contested before me is by way of disallowance made u/s 40(a)(ia) on account of non-deduction of TDS on freight and forwarding charges paid to local shipping agent of foreign company. The ld.CIT(A) has confirmed the disallowance on the sole ground that the assessee has failed to furnish details that M/s Schenkar India Pvt. Ltd. was the agent of foreign shipping company and as to how the provisions of section 172 is applicable. Similar was the case with M/s APL India Ltd. The assessee demonstrated that it has filed the bill of lading in proof of the fact that M/s APL India Ltd. as well as M/s Schenkar India Pvt. Ltd. are agents of foreign shipping companies. In view of these, the disallowance in question of Rs.1,92,904/- is deleted by following the decision of the Chandigarh Bench of the ITAT in the case of ITO vs. Bhogal Exports, Ludhiana in AY 2008-09.
In the result, the appeal of the assessee is allowed.
The order pronounced in the open court on 31.08.2016.