Section 40(a)(ia) disallowance Invalid If Payee Declared Income; Form 26A Not Applicable Pre-2012

Madhu Transport Company Private Limited Vs ITO (ITAT Kolkata) ITAT Kolkata order on Whether disallowance under Section 40(a)(ia) of the Income Tax Act, 1961 is sustainable when the assessee failed to deduct tax at source on payment of interest, but the payee has already offered the income to tax in its return, and Form 26A was not filed by the assessee This appeal by Madhu Transport Company Private Limited contested the disallowance under Section 40(a)(ia) of the Income Tax Act, 1961. The Assessing Officer (AO) disallowed interest paid to M/s Srei Infrastructure Pvt. Ltd. because the assessee ...