38. CIT vs. Reliance Co. Ltd.; 414 ITR 551 (Bom.)
Date of order: 10th June, 2019
A.Y.: 2009-10
Sections 194, 194D and 194J of ITA, 1961 TDS Works contract or professional services Outsourcing expenses Services clerical in nature Not technical or managerial services Tax deductible u/s 194C and not u/s 194J
TDS Insurance business Insurance agents commission Service tax Quantum of amount on which income-tax to be deducted Tax deductible on net commission excluding service tax
The assessee, an insurance company, deducted tax at source u/s 194C of the Income-tax Act, 1961 on payment of outsourcing expenses. The Department held that the tax ought to have been deducted u/s 194J on the ground that the payments were for managerial and technical services. The assessee deducted the tax at source on the agents commission excluding the service tax comp
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