Case Law Details
PCIT Vs J&K Bank Ltd. (Jammu & Kashmir And Ladakh High Court)
Introduction: Explore the significant judgment of the Jammu & Kashmir and Ladakh High Court in the case of PCIT vs J&K Bank Ltd. This case revolves around whether a bank is required to deduct Tax Deducted at Source (TDS) from the interest paid on fixed deposits to the Jammu Development Authority (JDA). The court’s ruling provides clarity on the tax liability in such cases.
Background: The issue pertains to the obligation of a bank to deduct TDS from the interest paid on fixed deposits held by the Jammu Development Authority. The Revenue authorities argued that the JDA is a taxable entity and, therefore, TDS should be deducted as per the Income Tax Act.
Key Points:
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