Case Law Details
Ajnara India Ltd. Vs ITO (ITAT Delhi)
It is observed that the Ld. CIT(A) examined the Lease Deed Agreement between the assessee and NOIDA Authority filed before him during the appellate proceedings and extracted the relevant recitals in para 4.8 and 4.9 of his order to reach the conclusion that reading of Lease Deed Agreement, CBDT Circular dated 13.10.2016 and provisions of section 194-I of the Act clearly bring out the difference between payment of premium, one time lease rent and annual lease rent. According to the Ld. CIT(A) the four payments aggregating to Rs. 1,86,28,674/- made by the assessee during the year to NOIDA Authority were for lease rent on annual basis which do not confer the rights over the land to the assessee. In coming to the conclusion that the said payments attracted TDS liability under section 194-I of the Act, the Ld. CIT(A) derived support from the decision in Rajesh Projects (India) (P) Ltd. (supra) of the Hon’ble Delhi High Court. We, therefore, do not find any infirmity in the order of the Ld. CIT(A) and, thus we reject the assessee’s ground of appeal on this issue and hold that the assessee is liable for interest under section 201(1A) of the Act.
FULL TEXT OF THE ORDER OF ITAT DELHI
The appeal by the assessee is directed against the order dated 15.03.2017 of the Ld. Commissioner of Income Tax (Appeals) – 41, New Delhi (“CIT(A)”) pertaining to assessment year (“AY”) 20 12-13.
2. The assessee has taken the following grounds of appeal:-
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