Sections 201 and 40(a)(ia) Operate Independently on TDS Failures

Udhna Citizen Co.operative Bank Limited Vs ITO (ITAT Surat) 40(a)(ia) Disallowance Does Not Bar Action U/s 201- ITAT Surat Upholds TDS Liability on Expense Provisions; The Surat Bench of the ITAT partly allowed the appeal of a co-operative bank in proceedings under sections 201(1) and 201(1A) for AY 2013-14, arising from non-deduction of TDS on provisions made for rent and legal/consultation fees. The Assessing Officer (TDS) had treated the assessee as an “assessee in default” and raised a demand of ₹4.77 lakh for failure to deduct tax under sections 194I and 194J. The Tribunal held that...