S. 194C(6) & 194C(7) Operates Independently: ITAT directs to Reconsider Disallowance of Transportation charges u/s 40(a)(ia)

The ITAT has ruled that "Sections 194C(6) and 194C(7) operate independently," and has directed the "reconsideration of the disallowance of transportation charges under Section 40A(ia)." The tribunal's decision, which is a significant victory for the company, was made on the grounds that the company's claim was not supported by evidence. The ruling clarifies that a tax authority can't add a tax to a company's account without a valid reason.