No default due to Non Deduction of TDS on Interest where Form 15G is Submitted

Bank of India Vs. JCIT (ITAT Jaipur) The issue under consideration is whether assessee is considered as assessee in default u/s 201(1) and 201(1A) for non-deduction of TDS? In the present case, the assessee bank has paid interest on fixed deposits placed with it by one of its customers, Jaipur School Samiti on which no TDS was deducted on account of submission of Form 15G by the said Samiti. However, the Assessing Officer passed the order under section 201(1) read with 201(1A) holding the assessee bank to be in default for non-deduction of TDS on interest on FDR. ITAT states that, the Assessin...