Section 194Q of the Income Tax Act

Income-tax Act, 2025: s.393

Section 194Q of the Income-tax Act, 1961 corresponds to section 393 (Tax to be deducted at source) of the Income-tax Act, 2025.

Read section 393 of the 2025 Act

Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.

The decision most relied on for Section 194Q is CIT v. Tridoss Laboratories Ltd. (328 ITR 448), cited in 35 of the 123 judgments on BharatTax that turn on this section.

Leading authorities on Section 194Q

CIT v. Tridoss Laboratories Ltd.
328 ITR 448 · 2010 · High Court
35
citing judgments

Deductions under Chapter VI-A of the Income Tax Act, such as Section 80-IA, are to be calculated and allowed with reference to the assessee's gross total income, not just business income.

Pandian Chemicals Ltd. v. Commissioner of Income Tax, Madurai
5 SCC 590 · 1999 · Reported
35
citing judgments
Cloth Traders (P) Ltd. v. CIT
3 SCC 538 · 1986 · Reported
16
citing judgments

For the purpose of Section 80-M, deductions are to be allowed on gross total income and not on net income. This interpretation was later overruled by the Supreme Court.

Naresh Bhavani Shah (HUF) v. CIT
84 Taxmann.com 53 · 2017 · High Court
13
citing judgments

Credit for Tax Deducted at Source (TDS) can be given to a person other than the deductee if certain conditions are met, including the filing of a declaration as prescribed by Rule 37BA(2).

Jonnalla Narashimharao and Co. and Ors. v. Commissioner of Income Tax
200 ITR 588 · 1993 · Supreme Court
3
citing judgments

Judgments on Section 194Q

Wheels Polymers Pvt Ltd, Delhi vs. TDS Ward 78(4), Delhi

ITA 2832/DEL/2025[2024-25]Status: DisposedITAT Delhi19 Nov 2025AY 2024-25

Bench: Shri S. Rifaur Rahman & Shri Anubhav Sharmaassessment Year : 2024-25 Wheels Polymers Pvt. Ltd., Vs. Ao, Dsm 212, Dlf Towers 15, Tds Ward 78(4), Najafgarh Road, Nirman Vihar, New Delhi – 110 015. Delhi. Pan : Aaacw0583H

For Appellant: Shri Ravi Pratap Mall, Advocate &For Respondent: Shri Rajesh Kumar Dhanesta, Sr.DR
Section 194QSection 200A

Nature Delight Multi State Co-Operative Dairy & Agro Products Limited, Pune vs. Central Circle 1 (1), Pune

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

ITA 1362/PUN/2025[2023-24]Status: DisposedITAT Pune31 Oct 2025AY 2023-24

Bench: Shri Manish Borad & Shri Vinay Bhamoreआयकर अपील सं. / Ita No.1362/Pun/2025 िनधा"रण वष" / Assessment Year : 2023-24 Nature Delight Multi State Vs. Dcit, Circle-1(1), Pune. Co-Operative Dairy & Agro Products Limited, Gate No.1189, Nature Delight, A/P- Kalas, Tal- Indapur- 413105. Pan : Aahan9155F Appellant Respondent Assessee By : Smt. Deepa Khare Revenue By : Shri Harshit Bari Date Of Hearing : 20.08.2025 Date Of Pronouncement : 31.10.2025 आदेश / Order Per Vinay Bhamore, Jm: This Appeal Filed By The Assessee Is Directed Against The Order Dated 29.03.2025 Passed By Ld. Addl./Jcit(A), Raipur [‘Ld. Cit(A)’] For The Assessment Year 2023-24. 2. Facts Of The Case, In Brief, Are That The Assessee Is A Multi State Cooperative Society U/S 7 Of Multi State Cooperatives Societies Act

For Appellant: Smt. Deepa KhareFor Respondent: Shri Harshit Bari
Section 143(1)Section 194Section 194QSection 7

Amrit Lal Jain, Rani vs. ITO, Sumerpur

Appeal of the assessee is allowed in the manner

ITA 627/JODH/2024[2023-24]Status: DisposedITAT Jodhpur30 Oct 2025AY 2023-24

Bench: Shri Laliet Kumar, Hon'Ble & Dr. Mitha Lal Meena, Hon'Ble

Section 194QSection 199

Sri Lakshmi General Stores, Guntur vs. Income Tax Officer, Ward-1(1), Guntur

In the result, appeal of the assessee in ITA

ITA 479/VIZ/2025[2023-24]Status: DisposedITAT Visakhapatnam29 Oct 2025AY 2023-24

Bench: SHRI G. MANJUNATHA, HON’BLE (Accountant Member), SHRI RAVISH SOOD, HON’BLE (Judicial Member)

Section 143(1)Section 194QSection 199Section 7(1)(b)

Sri Lakshmi General Stores, Guntur vs. Income Tax Officer, Ward-1(1), Guntur

In the result, appeal of the assessee in ITA

ITA 478/VIZ/2025[2022-23]Status: DisposedITAT Visakhapatnam29 Oct 2025AY 2022-23

Bench: SHRI G. MANJUNATHA, HON’BLE (Accountant Member), SHRI RAVISH SOOD, HON’BLE (Judicial Member)

Section 143(1)Section 194QSection 199Section 7(1)(b)

Jakhad Enterprise LLP, Mumbai vs. Income Tax Officer 41(1)(3), Mumbai

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

ITA 4985/MUM/2025[2023-24]Status: DisposedITAT Mumbai26 Sept 2025AY 2023-24

Bench: MS. KAVITHA RAJAGOPAL (Judicial Member), SHRI OMKARESHWAR CHIDARA (Accountant Member)

Section 143(1)Section 143(3)Section 154Section 194Section 194QSection 234ASection 250Section 270ASection 274Section 40

Anirudh Gupta, Sirsa vs. Income Tax Officer, Sirsa

In the result, appeal of the assessee is allowed

ITA 257/CHANDI/2025[2022-23]Status: DisposedITAT Chandigarh11 Sept 2025AY 2022-23

Bench: Shri Rajpal Yadav & Shri Krinwant Sahayआयकर अपील सं./ Ita No. 257/Chd/2025 "नधा"रण वष" / Assessment Year: 2022-23 Shri Anirudh Gupta, Vs The Ito (Exemptions), 22-Scf C/O M/S Sat Narain Ward-1, Brij Bhushan, Addl. Mandi, Sirsa. Sirsa. "थायी लेखा सं./Pan No: Agipg2244E अपीलाथ"/Appellant ""यथ"/Respondent Assessee By : Shri Lalit Mohan, C.A. Revenue By : Shri Vivek Vardhan, Addl. Cit Sr.Dr Date Of Hearing : 31.07.2025 Date Of Pronouncement : 11.09.2025

For Appellant: Shri Lalit Mohan, C.AFor Respondent: Shri Vivek Vardhan, Addl. CIT Sr.DR
Section 194JSection 194Q

Rajmangal Co-Operative Dairy Limited, Pune vs. ITO Ward 1(1), Solapur

In the result, the appeal filed by the assessee in ITA

ITA 1361/PUN/2025[2023-24]Status: DisposedITAT Pune03 Sept 2025AY 2023-24

Bench: Shri Manish Borad & Shri Vinay Bhamoreआयकर अपील सं. / Ita Nos.1360 & 1361/Pun/2025 िनधा"रण वष" / Assessment Years : 2022-23 & 2023-24 Rajmangal Co-Operative Vs. Ito, Ward-1(1), Dairy Limited, Solapur. Rajmangal Gat No.72/2, Khadakewadi Devalali Karmala, Solapur- 411011. Pan : Aaear0270N Appellant Respondent Assessee By : Smt. Deepa Khare Revenue By : Shri Harshit Bari Date Of Hearing : 20.08.2025 Date Of Pronouncement : 03.09.2025 आदेश / Order Per Vinay Bhamore, Jm: Both The Above Captioned Appeals Filed By The Assessee Are Directed Against The Separate Orders Dated 10.03.2025 Passed By Ld. Addl./Jcit(A)-7, Kolkata [‘Ld. Cit(A)’] For The Assessment Years 2022-23 & 2023-24 Respectively. 2. Since Identical Facts & Common Issues Are Involved In Both The Above Captioned Appeals Of The Assessee, Therefore, We Proceed To Dispose Of The Same By This Common Order. 3. First, We Shall Take Up The Appeal Of The Assessee In Ita No.1360/Pun/2025 For Assessment Year 2022-23 As The Lead Case For Adjudication.

For Appellant: Smt. Deepa KhareFor Respondent: Shri Harshit Bari
Section 139(9)Section 143(1)Section 194O

Rajmangal Co-Operative Dairy Limited, Solapur vs. ITO Ward 1(1), Solapur

In the result, the appeal filed by the assessee in ITA

ITA 1360/PUN/2025[2022-23]Status: DisposedITAT Pune03 Sept 2025AY 2022-23

Bench: Shri Manish Borad & Shri Vinay Bhamoreआयकर अपील सं. / Ita Nos.1360 & 1361/Pun/2025 िनधा"रण वष" / Assessment Years : 2022-23 & 2023-24 Rajmangal Co-Operative Vs. Ito, Ward-1(1), Dairy Limited, Solapur. Rajmangal Gat No.72/2, Khadakewadi Devalali Karmala, Solapur- 411011. Pan : Aaear0270N Appellant Respondent Assessee By : Smt. Deepa Khare Revenue By : Shri Harshit Bari Date Of Hearing : 20.08.2025 Date Of Pronouncement : 03.09.2025 आदेश / Order Per Vinay Bhamore, Jm: Both The Above Captioned Appeals Filed By The Assessee Are Directed Against The Separate Orders Dated 10.03.2025 Passed By Ld. Addl./Jcit(A)-7, Kolkata [‘Ld. Cit(A)’] For The Assessment Years 2022-23 & 2023-24 Respectively. 2. Since Identical Facts & Common Issues Are Involved In Both The Above Captioned Appeals Of The Assessee, Therefore, We Proceed To Dispose Of The Same By This Common Order. 3. First, We Shall Take Up The Appeal Of The Assessee In Ita No.1360/Pun/2025 For Assessment Year 2022-23 As The Lead Case For Adjudication.

For Appellant: Smt. Deepa KhareFor Respondent: Shri Harshit Bari
Section 139(9)Section 143(1)Section 194O

Kehar Singh, Sirsa vs. Income Tax Officer, Ward-1, Sirsa

In the result, the appeal of the assessee is allowed

ITA 701/CHANDI/2025[2022-23]Status: DisposedITAT Chandigarh28 Aug 2025AY 2022-23

Bench: The Tribunal.

For Appellant: Sh. Nikhil Garg, AdvocateFor Respondent: Smt. Surinder Kaur Waraich, Addl. CIT
Section 143(1)Section 194QSection 44A

Income Tax Officer, Chandigarh vs. Embee Financial Services Limited, Chandigarh

In the result, the appeal of the assessee is allowed

ITA 699/CHANDI/2025[2017-18]Status: DisposedITAT Chandigarh27 Aug 2025AY 2017-18

Bench: The Tribunal.

For Appellant: Sh. Nikhil Garg, AdvocateFor Respondent: Smt. Surinder Kaur Waraich, Addl. CIT
Section 143(1)Section 194QSection 44A

Niranjan Lal, Kishangarh Bass vs. ITO, Ward 1(1), Alwar

ITA 806/JPR/2025[2022-23]Status: DisposedITAT Jaipur26 Aug 2025AY 2022-23

Bench: SHRI RATHOD KAMLESH JAYANTBHAI (Accountant Member), SHRI NARINDER KUMAR (Judicial Member)

For Appellant: NoneFor Respondent: Sh. Gautam Singh Choudhary, JCIT
Section 143(1)Section 194Section 194HSection 250Section 44A

Charan Singh, Sirsa vs. Income Tax Officer, Ward-1, Sirsa

In the result, the appeal of the assessee is allowed

ITA 685/CHANDI/2025[2022-23]Status: DisposedITAT Chandigarh26 Aug 2025AY 2022-23

Bench: The Tribunal.

For Appellant: Sh. Nikhil Garg, AdvocateFor Respondent: Smt. Surinder Kaur Waraich, Addl. CIT
Section 143(1)Section 194QSection 44A

Koti Narasimha Srinivas Vukkurthi, Guntur vs. Income Tax Officer, Ward-1(1), Guntur

In the result, appeal of the assessee is allowed

ITA 333/VIZ/2025[2022-23]Status: DisposedITAT Visakhapatnam25 Jul 2025AY 2022-23

Bench: Shri Vijay Pal Rao, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपीलसं./I.T.A.No.333/Viz/2025 (निर्धारण वर्ा/ Assessment Year: 2022-23) Vs. Income Tax Officer-Ward – 1(1) Koti Narasimha Srinivas Vukkurthi C/O. M.V. Prasad, Ca Income Tax Office First Floor Cr Buildings, Kannavari Thota Opposite Prasad & Co. Contractors Guntur – 522001, Andhra Pradesh D.No. 6-3-871 Snehalata, Greenlands Road Begumpet, Hyderabad – 500016 [Pan: Admpv6385Q] (अपीलधर्थी/Appellant) (प्रत्यर्थी/Respondent) करदाता का प्रतततितित्व/ Assessee Represented By : Shri Mv Prasad, Ca राजस्व का प्रतततितित्व/ Department Represented By : Dr.Aparna Villuri, Sr. Ar

Section 139(9)Section 143(1)Section 154Section 194QSection 199

Bala Krishna Traders, Guntur vs. Income Tax Officer, Ward-1(1), Guntur

In the result, appeal of the assessee is allowed

ITA 303/VIZ/2025[2023-24]Status: DisposedITAT Visakhapatnam18 Jul 2025AY 2023-24

Bench: the Ld. Addl / JCIT (A), Agra. On appeal, after considering the submissions of the assessee, the Ld. Addl/ JCIT (A), dismissed the appeal of the assessee by holding that the CPC was justified in restricting the TDS credit by applying Rule 37BA of the Income Tax Rules, 1962. On being aggrieved, the assessee filed the present appeal before the Tribunal by raising the following grounds of appeal:

Section 143(1)Section 194Q

Bala Krishna Traders, Guntur vs. Income Tax Officer, Ward-1(1), Guntur

In the result, appeal of the assessee is allowed

ITA 302/VIZ/2025[2022-23]Status: DisposedITAT Visakhapatnam18 Jul 2025AY 2022-23

Bench: the Ld. Addl / JCIT (A), Agra. On appeal, after considering the submissions of the assessee, the Ld. Addl/JCIT (A), dismissed the appeal of the assessee by holding that the CPC was justified in restricting the TDS credit by applying Rule 37BA of the Income Tax Rules, 1962. On being aggrieved, the assessee filed the present appeal before the Tribunal by raising the following grounds of appeal:

Section 143(1)Section 194Q

Dadiba Kali Pundole, Mumbai vs. Deputy Commissioner of Incomem Tax -17(1), Mumbai

The appeal of the assessee is allowed

ITA 3265/MUM/2025[2023-24]Status: DisposedITAT Mumbai18 Jul 2025AY 2023-24

Bench: Shri Pawan Singh, Jm & Ms Padmavathy S, Am

For Appellant: Shri Amey Wagle & Shri AzimFor Respondent: 07.07.2025
Section 143Section 143(1)Section 154Section 194QSection 234Section 234CSection 246ASection 250

Mukesh, Sirsa vs. Income Tax Officer, Ward-1, Sirsa

The appeal stand allowed in terms of our above order

ITA 44/CHANDI/2025[2022-23]Status: DisposedITAT Chandigarh09 Jul 2025AY 2022-23

Bench: Hon’Ble Shri Rajpal Yadav & Hon’Ble Shri Manoj Kumar Aggarwal, Am आयकर अपील सं./ Ita No.44/Chandi/2025 (िनधा"रणवष" / Assessment Year: 2022-23) Shri Mukesh Income Tax Officer C/O M/S Mukesh Kumar Naresh Kumar बनाम/ Ward-1 Shop No. 48, Kaps Mandi Sirsa, Haryana 125055 Vs. Sirsa-125 055 "थायीलेखासं./जीआइआरसं./Pan/Gir No.Bbmpm-3641-R (अपीलाथ"/Appellant) : (""थ" / Respondent) अपीलाथ"कीओरसे/ Appellant By : Shri Sudhir Sehgal (Advocate) – Ld. Ar ""थ"कीओरसे/Respondent By : Dr. Ranjit Kaur (Addl. Cit) – Ld. Sr. Dr सुनवाईकीतारीख/Date Of Hearing : 07-07-2025 घोषणाकीतारीख /Date Of Pronouncement : 09-07-2025 आदेश / O R D E R Manoj Kumar Aggarwal () 1. Aforesaid Appeal By Assessee For Assessment Year (Ay) 2022-23 Arises Out Of An Order Of Learned Addl. / Joint Commissioner Of Income Tax (Appeals)-1, Chennai [Cit(A)] Dated 26-11-2024 In The Matter Of An Intimation Issued By Cpc U/S 143(1) Of The Act On 17-02-2023. Having Heard Rival Submissions & Upon Perusal Of Case Records, The Appeal Is Disposed-Off As Under.

For Appellant: Shri Sudhir Sehgal (Advocate) – Ld. ARFor Respondent: Dr. Ranjit Kaur (Addl. CIT) – Ld. Sr. DR
Section 143(1)Section 194JSection 194Q

Mukesh Kumar Aggarwal, Raisinghnagar vs. ITO Ward - 1, Sri Ganganagar

Appeal of the assessee are allowed for statistical purposes

ITA 41/JODH/2025[2023-24]Status: DisposedITAT Jodhpur07 Jul 2025AY 2023-24

Bench: Dr. Mitha Lal Meena, Hon'Ble & Narinder Kumar, Hon'Ble

Section 143(1)

Mukesh Kumar Aggarwal, Raisinghnagar vs. ITO Ward 1, Sri Ganganagar

Appeal of the assessee are allowed for statistical purposes

ITA 40/JODH/2025[2022-23]Status: DisposedITAT Jodhpur07 Jul 2025AY 2022-23

Bench: Dr. Mitha Lal Meena, Hon'Ble & Narinder Kumar, Hon'Ble

Section 143(1)