“tax deducted at source”

Chapter XVII - Collection & Recovery (TDS)Chapter XVII-BChapter XVII-B / Rule 26B / Rule 37BA(2)2,249 judgments

The decision most relied on for tax deducted at source is GE India Technology Centre Pvt. Ltd. v. CIT (327 ITR 456), cited in 663 judgments on BharatTax.

Leading authorities on tax deducted at source

GE India Technology Centre Pvt. Ltd. v. CIT

327 ITR 456 · 2010 · Supreme Court

663

citing judgments

Tax must be deducted at source from payments made to a non-resident under Section 195 only if such payment is chargeable to tax in India. The Assessing Officer bears the onus to establish that the payments made are indeed chargeable to tax under the Income Tax Act.

Gajanan Constructions v. DCIT

74 Taxmann.com 6 · 2016 · ITAT

465

citing judgments

Late fees under section 234E can only be levied prospectively from June 1, 2015. Levying late fees for periods prior to this date is not permissible.

CIT v. Samsung Electronics Ltd.

345 ITR 494 · 2012 · High Court

461

citing judgments

Payments by Indian residents to non-resident foreign software suppliers for software are considered royalty, constituting income deemed to accrue in India under section 9(1)(v), thereby requiring tax deduction at source under section 195.

CIT v. Ansal Land Mark Township (P) Ltd.

377 ITR 635 · 2015 · High Court

369

citing judgments

The second proviso to Section 40(a)(ia), introduced by the Finance Act, 2012, is curative and applies retrospectively from April 1, 2005. Consequently, if the recipient of a payment has filed their return and paid taxes on the amount from which tax was not deducted at source, the payer's expenditure cannot be disallowed under Section 40(a)(ia).

Transmission Corporation of Andhra Pradesh v. CIT

239 ITR 587 · 1999 · Supreme Court

243

citing judgments

The Supreme Court lays down principles for deducting tax at source (TDS) under Section 195 on payments to non-residents, including aspects of income deemed taxable in India and the application of Double Taxation Avoidance Agreements (DTAAs) under Section 90.

PCIT v. Peroorkada Service Co-op. Bank Ltd.

442 ITR 141 · 2022 · High Court

208

citing judgments

Interest income earned by a co-operative society from deposits with other co-operative banks, such as district or state co-operative banks, is eligible for deduction under Section 80P(2)(d) of the Income-tax Act, as it is considered income from other sources.

DIT v. GE Packaged Power Inc.

373 ITR 65 · 2015 · High Court

199

citing judgments

Interest under section 234B for default in payment of advance tax is not leviable when the entire income is subject to tax deduction at source under section 195, as no advance tax liability arises for the assessee in such circumstances.

CIT v. Ansal Landmark Township (P.) Ltd.

61 Taxmann.com 45 · 2015 · High Court

177

citing judgments

Disallowance under section 40(a)(ia) cannot be made when the assessee has deducted tax at a lesser rate, as opposed to no deduction. The second proviso to section 40(a)(ia) is applicable retrospectively, mitigating disallowance where tax is deposited by the recipient.

Judgments citing tax deducted at source

Abdul Rahman Asad, Riyadh, Saudi Arabia vs. Deputy Commissioner of Income Tax, Intl. Tax 1(1)(1), New Delhi

In the result, the appeal filed by the assessee is allowed

ITA 2433/DEL/2025[2022-23]Status: DisposedITAT Delhi12 Nov 2025AY 2022-23

Bench: Shris.Rifaur Rahman & Shri Yogesh Kumar U.S.Abdul Rahman Asad, Vs. Dcit, House No.47, Behind Jain Mandi, Circle Int. Tax 1(1)(1), Mohalla Barihat, New Delhi. Bahraich – 271 801 (Uttar Pradesh). (Pan : Aofpa6981F) (Appellant) (Respondent) Assessee By : Shri Alok Vasant, Fca Ms. Poonam Ahuja, Advocate Revenue By : Shri Vikram Singh Sharma, Sr. Dr Date Of Hearing : 21.08.2025 Date Of Order : 12.11.2025 O R D E R Per S. Rifaur Rahman: 1. The Assessee Has Filed Appeal Against The Order Of The Learned Commissioner Of Income-Tax (Appeals), Delhi - 42 [“Ld. Cit(A)”, For Short] Dated 03.03.2025 For The Assessment Year 2022-23. 2. Brief Facts Of The Case Are, The Assessee Is A Non-Resident & Filed The Original Return Of Income For Ay 2022-23 On 27.07.2022 Declaring Taxable Income Of Rs.4,86,560/- (Income From House Property Rs.4,64,444/-, Income From Other Sources Rs.32,115/- & Loss From Long

For Appellant: Shri Alok Vasant, FCAFor Respondent: Shri Vikram Singh Sharma, Sr. DR

Section 199

erred in confirming the action of Ld. Centralised Processing Center, Bengaluru ('Ld. AO') in not allowing the credit of tax deducted at source ('TDS') of Rs.20,99,240 in accordance with the provisions of section 199 of the Act even though he duly acknowledged that TDS was deducted

Nikshep Infra Projects, Bangalore vs. Income Tax Officer, Ward-2(1)(3), Bangalore

In the result, appeal filed by the assessee is allowed

ITA 1602/BANG/2025[2023-24]Status: DisposedITAT Bangalore11 Nov 2025AY 2023-24

Bench: Shri Laxmi Prasad Sahu & Shri Keshav Dubeyassessment Year : 2023-24

For Appellant: Shri Sukruth, CAFor Respondent: Shri Subramanian S., Jt.CIT(DR)(ITAT), Bengaluru

Section 250Section 68

Further, the assessee has also submitted the reconciliation for difference between Gross Contract Receipts as per P & L a/c and receipts on which tax deducted at source.( Placed at PB-1). On going through the same we take note of the fact that the total receipts as per 26AS

DCIT, Circle 4(2), New Delhi vs. Blue Jay Finlease Pvt Ltd, New Delhi

Appeal is dismissed

ITA 4416/DEL/2024[2018-19]Status: DisposedITAT Delhi11 Nov 2025AY 2018-19

Bench: Shri Satbeer Singh Godara & Shri Rifaur Rahmanassessment Year: 2018-19 Vs. Blue Jay Finlease Pvt. Ltd, Dcit, Circle-4(2), 26, Kasturba Gandhi Marg, New Delhi Delhi-110001 Pan: Aaacb5215H (Appellant) (Respondent) Assessee By Sh. Rajesh Bansal, Ca Department By Sh. Ajay Kumar Arora, Sr. Dr

Section 143(3)Section 56(2)(vii)Section 56(2)(viib)

been duly offered to tax. Moreover, the Appellant in its Return of Income for AY 2018-19 did not make a claim of tax deducted at source on the entire interest income (appearing incorrectly in Form 26AS of AY 2018-19) including the TDS on the interest income

Deputy Commissioner of Income Tax, Alwar vs. Ashok Sharma, Rewari

In the result, the appeal of the revenue stand dismissed

ITA 1227/JPR/2024[2018-19]Status: DisposedITAT Jaipur10 Nov 2025AY 2018-19

For Appellant: Shri Mahendra Gargieya, AdvocateFor Respondent: Mrs. Alka Gautam, CIT-DR

Section 10(37)Section 143(3)Section 145B(1)Section 28Section 56Section 56(2)(viii)Section 57

ascertain whether the interest given under the said provision amounts to compensation or not. (3) The direction to refund the amount of Tax Deducted at Source (TDS) to the Land Acquisition Collector is, accordingly, set aside. However, in those cases where the amount has already been refunded, no interference

Deputy Commissioner of Income Tax, Delhi vs. M/S Pci Limited, Delhi

In the result, appeal of Revenue in ITA No

ITA 4164/DEL/2025[2015-16]Status: DisposedITAT Delhi10 Nov 2025AY 2015-16

Bench: Shri Satbeer Singh Godara & Shri Naveen Chandra

For Appellant: NoneFor Respondent: Shri Manish Gupta, Sr. DR

Section 272A(2)(g)Section 273B

issue of TDS certificates as the utility for online filing of TDS returns and generation of Form-16/16A by giving particulars of Tax Deducted at Source of the deductees can be generated only after payment of Tax Deducted at Source to the Central treasury. 4.1.11 In the present case ... total, the appellant paid a sum of Rs. 1,01,72,982/- over and above the liability of Tax Deducted at Source. 4.1.12 The appellant had also furnished a chart giving TDS return wise and quarter wise dates of filing of TDS Returns and date of issue of TDS certificates

DCIT Circle 4(2), New Delhi vs. Canon India Pvt. Ltd., New Delhi

In the result, to sum up and conclude:

ITA 1038/DEL/2023[2005-06]Status: DisposedITAT Delhi10 Nov 2025AY 2005-06

Bench: Shri Challa Nagendra Prasad & Shri Naveen Chandra

For Appellant: Shri Himanshu Sinha, AdvFor Respondent: Shri Vijay B. Basanta, CIT-DR

Section 10ASection 143(3)Section 254Section 92C

refund of any amount becomes due to the assessee then- (a) if the refund is out of any advance tax paid or tax deducted at source during financial year immediately preceding the assessment year, interest shall be payable for the period starting from the 1st April of the Page ... than 10% of the tax determined on regular assessment. (b) if the refund is out of any tax, other than advance tax or tax deducted a source, or penalty, interest shall be payable for the period starting from the date of payment of such tax or penalty and ending

Canon India Pvt. Ltd, Gurugram vs. Neac, Delhi

In the result, to sum up and conclude:

ITA 585/DEL/2021[2003-04]Status: DisposedITAT Delhi10 Nov 2025AY 2003-04

Bench: Shri Challa Nagendra Prasad & Shri Naveen Chandra

For Appellant: Shri Himanshu Sinha, AdvFor Respondent: Shri Vijay B. Basanta, CIT-DR

Section 10ASection 143(3)Section 254Section 92C

Ranchi Expressways Limited, Hyderabad vs. Income Tax Officer, Ward-3(2), Hyderabad

In the result, the appeal filed by the assessee is allowed

ITA 1594/HYD/2019[2014-15]Status: DisposedITAT Hyderabad07 Nov 2025AY 2014-15

Bench: the Ld. CIT(A), but could not succeed. The Ld. CIT(A) for the reasons stated in their appellate order dated 25.01.2019 rejected the explanation of the assessee and sustained additions made by the A.O. towards refund of TDS along with interest by holding that, as per the provisions of Section 199 of the Act read with Rule 37BA of the Income Tax Rules, 1962, which is applicable w.e.f. A.Y. 2018-19, unless corresponding income is offered to tax, TDS related to the said income cannot be allowed

Section 143(1)Section 199Section 244A

credit for taxes deducted and paid to the Central Government account 5 Ranchi Expressways Limited and as per Rule 37BA, credit for tax deducted at source and paid to the Central Government in accordance with the provisions of Chapter XVII shall be given to the person to whom the payment ... been deducted is assessable in the hands of the person other than the deductee, credit for whole or any part of the tax deducted at source as the case may be shall be given to the other person and not to the deductee. Further sub-rule (3) of Rule 37BA

Right Way Logistics Pvt. Ltd., Chennai vs. ITO, Corporate Ward-5(3), Chennai

In the result, appeal filed by the assessee is allowed for statistical purposes

ITA 2915/CHNY/2024[2016-17]Status: DisposedITAT Chennai07 Nov 2025AY 2016-17

Bench: Shri Aby T. Varkey & Shri S.R.Raghunatha

For Appellant: Mr.N. Arjun Raj, Advocate

Section 143(3)Section 194CSection 40

expenditure incurred in the nature of “CFS M/s.Right Way Logistics Pvt. Ltd. :: 2 :: Charges” for want of Tax Deducted at Source (TDS) in terms of Section 194C of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act‘). 3. Brief facts are that the assessee is a 'company' engaged ... comprises of two components] of the expenditure incurred in the nature of "CFS Charges" for want of Tax Deducted at Source in terms of Section 194C of the Act.  The Assessing officer disallowed the CFS charges for want of TDS on the ground that TDS would get attracted to reimbursements

Babubhai Kanjibhai Sakaria, Jetpur vs. ITO WD 1(2)(1), Rajkot

In the result, the appeal filed by the assessee is allowed

ITA 156/RJT/2025[2016-17]Status: DisposedITAT Rajkot06 Nov 2025AY 2016-17

Bench: Dr. Arjun Lal Saini & Shri Dinesh Mohan Sinhaआयकर अपील सं./Ita No. 156/Rjt/2025 (Assessment Year: 2016-17) Babubhai Kanjibhai Sakariya Vs. Ito, Wd 1(2)(1), Rajkot Plot No. 82 Satyam Park, Amarnagar Aaykar Bhavan, Race Course Ring Road, Jetpur,(Rajkot-Gujarat) -360370 Road, Rajkot 360001 "ायीलेखासं./जीआइआरसं./Pan/Gir No.: Agnps7407C (अपीलाथ"/Appellant) (""थ"/Respondent)

For Appellant: Shri Rajendra Singhal, Ld. ARFor Respondent: Shri Abhimanyu Singh Yadav, Ld. Sr. DR

Section 142(1)Section 143(1)Section 143(2)Section 143(3)Section 194ASection 250Section 28

petition succeeds and is accordingly allowed. The second respondent having wrongly deducted an amount of Rs. 2,07,416/- by way of tax deducted at source out of the amount of Rs. 20,74,157/- payable to the petitioner under section 28 of the Act of 1894 and having deposited ... reasons, the petition succeeds and is accordingly allowed. The second respondent having wrongly deducted an amount of Rs.2,07,416/- by way of tax deducted at source out of the amount of Rs.20,74,157/- payable to the petitioner under section 28 of the Act of 1894 and having deposited

Wind World Financial Consultancy Private Limited, Mumbai vs. ITO, TDS Ward 2(3)(3), Mumbai

In the result, the appeal of the assessee is allowed for the statistical purposes

ITA 5552/MUM/2024[2016-17]Status: DisposedITAT Mumbai04 Nov 2025AY 2016-17

Bench: Hon’Ble Shri Saktijit Dey & Ms Padmavathy S, Am

For Appellant: Shri Ravi Ganatra, AdvFor Respondent: Shri. SwapnilChoudhary Sr. AR

Section 133B(2)Section 201Section 201(1)Section 250

fact that during the TDS proceedings, the appellant vide reply dated 12.12.2022 submitted copy of party wise and section wise details of tax deducted at source for FY 2015-16 on perusal of which it can be observed that the outstanding TDS of Rs 15,000/- as appearing ... made the addition without verifying the facts properly. The ld AR further submitted that the assessee has paid all the tax deducted at source and that there is no TDS outstanding in assessee's case as held by the AO. The ld. DR on other hand, vehemently, argued that

Padmasree Steels Private Limited, Ravulapalem vs. DCIT, Circle - 1, Kakinada

In the result, appeal of the assessee is allowed

ITA 292/VIZ/2025[2018-19]Status: DisposedITAT Visakhapatnam31 Oct 2025AY 2018-19

Bench: Shri Ravish Sood, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपीलसं./I.T.A.No.292/Viz/2025 (निर्धारणवर्ा/ Assessment Year:2018-19) Vs. Dcit – Circle –1 Padmasree Steels Private Limited Rs No. 109 & 110 Devarapalli 3Rd Floor, Deepthi Towers Main Road Ravulapalem – 533238 Kakinada – 533001 Andhra Pradesh Andhra Pradesh [Pan:Aadcp2642P]

Section 115JSection 143(1)Section 143(2)Section 143(3)Section 250

discussions as aforesaid. Thus, this ground raised by the assessee is allowed. 12. The second issue pertains to denial of credit for the Tax Deducted at Source on the interest income amounting to Rs.1,38,850/-. Ld.AR submitted that assessee has disclosed interest as income from other sources amounting ... Form 26AS amounting to Rs.47,874/-. In this scenario, if the income is admitted by the assessee the corresponding credit for tax deducted at source shall also be allowed in the same assessment year to the assessee amounting to Rs.1,38,850/-. We therefore direct the Ld. AO to examine

Aam India Manufacturing Corporation Private Limited, Ahmednagar vs. Income Tax Officer, Ward 1, Ahmednagar

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 1205/PUN/2025[2020-21]Status: DisposedITAT Pune31 Oct 2025AY 2020-21

Bench: Shri R.K. Panda & Ms. Astha Chandra

For Appellant: Shri Saurabh KulkarniFor Respondent: Shri Amol Khairnar

Section 139(1)Section 143(1)Section 270ASection 274Section 41(1)

same income: 13. Erred in making the aforesaid addition without mentioning any section number under which addition is being made. Short credit of Tax Deducted at Source ('TDS') of INR 2,56,500 14. Erred in sustaining the action of AO granting short TDS credit

M/S Enea Software Inc., India vs. Deputy Commissioner of Income-Tax, Circle Int. Tax 2(2)(2), New Delhi

In the result, the appeal of the assessee is allowed

ITA 986/DEL/2025[2022-23]Status: DisposedITAT Delhi31 Oct 2025AY 2022-23

Bench: Shri Vikas Awasthy & Shri Brajesh Kumar Singh[Assessment Year: 2022-23] M/S Enea Software Inc. Deputy Commissioner Of (Formerly Known As Openwave Income Tax, Circle Int. Tax Inc.), 1St Floor, Vs 2(2)(2), Civic Centre, Mobility Quattro Iconic Plot No. 273, Minto Road, Udyog Vihar, Phase 2, New Delhi. Gurugram, Haryana-122015 Pan- Aabco7261M Assessee Revenue

Section 142(1)Section 143(2)Section 144C

assessee claimed these receipts as non- taxable in India and claimed credit of TDS/refund of Rs. 52,62,769/- on account of tax deducted at source by its customers in India. The case of the assessee was selected under CASS for scrutiny on the reason "High Ratio of Refund

Garrison Engineer (E/M), Maharajpur vs. ITO., (TDS), Gwalior

In the result, ITA Nos. 128 to 131/Agr/2021 and ITA Nos

ITA 135/AGR/2021[2013-14]Status: DisposedITAT Agra30 Oct 2025AY 2013-14

Bench: : Shri S. Rifaur Rahman & Shri Sunil Kumar Singh

Section 154Section 200(3)Section 250Section 272ASection 272A(2)(k)Section 274

under Ministry of Defence. The appellant had made various payments during financial year 2012-13 relevant to assessment year 2013- 14 subjected to Tax Deduction at source, it had deducted tax at source from payments made liable for TDS and deposited the same amount to the credit of the Central ... passing the orders afresh after considering the submissions of assessee. We direct the assessee to file submissions and all the details of the tax deducted at source and its deposits to the credit of Central Govt. for all the four quarters, as desired under the Act. Needless to say, that