Second proviso to section 40(a)(ia) is curative and has retrospective effect, Appeal allowed

Brief summary and decision

The appeal was filed by the assessee against the order of CIT(A) confirming the disallowance of payment to sub-contractor without deduction of TDS u/s 194C of the Act invoking the provision of section 40(a)(ia) related to assessment year 2008-09.

Ld. Counsel of the assessee submitted before the tribunal that the second proviso to section 40(a)(ia) of the Act, would apply in case of the assessee. He relied on the decision of coordinate bench in case of Santosh Kumar Kedia Vs. ITO in ITA No.1905/Kol/2014 for A.Y. 2007-08 wherein it was

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