Section 194C vs 194-I on Transportation vs. Hire Contracts – ITAT Delhi

ITO, (TDS) V/s. Indian Oil Corporation (ITAT Delhi)- Bombay High Court in their decision dated 29.6.2007 in Indian National Ship Owners’ Association and Others Vs. CIT (TDS) in CWP no. 400 of 2007 concluded that the provisions of section 194I of the Act are applicable only in respect of rent for land or building (including factory building), furniture, fittings or any other machinery attached thereto and not for anything else like ships, transport vehicles (including railways) and freight/charter hire payments thereto. Honourable High Court further held that explanation-III of section 194-C,...