DCIT 1(2), MUMBAI vs. GOLDMAN SACHS (I) UINANCE P.LTD, MUMBAI

The Revenue is aggrieved by the decision of learned CIT(A) in holding that no disallowance is required to be made u/s. 40(a)(ia) of the Act for non deduction of tax at source on reimbursement of expenses.

Learned counsel appearing for the assessee submitted that identical issue came up for consideration before the Coordinate Bench of the ITAT in earlier years namely in relating to A.Y. 2009-10 and ITA No. 2227/Mum/2015 relating to A.Y. 2010-11, in assessee’s own case and the Tribunal has held that there is no requirement to deduct TDS from expenditure reimbursed by the assessee. Learned AR submitted that learned CIT(A) has followed the decision rendered by him in A.Y. 2009-10, which has since been upheld by the Tribunal.

We have heard learned Departmental Representative and perused the record. Since the view taken by learned CIT(A) on this issue is in accordance with the decision rendered by the Coordinate Benches of the Tribunal in assessee’s own case in A.Y. 2009-10 and 2010-11, we do not find any infirmity in the decision rendered by learned CIT(A).

In the result, appeal filed by the Revenue is dismissed.