Section 40(a)(ia) Disallowance Cannot Apply as Expenses Stayed in Work-in-Progress: ITAT Mumbai

ACIT Vs Orbit Ventures Developers (ITAT Mumbai) In this case before the Mumbai Bench of the Income Tax Appellate Tribunal (ITAT), the Revenue challenged the order of the Commissioner of Income Tax (Appeals) [CIT(A)] concerning disallowance under Section 40(a)(ia) of the Income Tax Act in relation to non-deposit and non-deduction of tax deducted at source (TDS). The assessee, a partnership firm engaged in redevelopment activities, had filed its return for Assessment Year 2018–19 declaring a loss of Rs. 19.13 crore. The case was selected for scrutiny on issues including income from real estate...