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Short deduction of tax due to application of wrong provision won’t lead to sec. 40(a)(ia) disallowance

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Posted onon November 18, 2014November 18, 2014

Tenet Tax Daily November 18 2014

By tenettax-team
Corporate Tax, International Tax

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Sum paid to NR without deduction of tax won’t invite sec. 40(a)(i) disallowance if such sum was capitalized
Compounding fee paid to municipality on deviation from sanctioned plan was in nature of penalty, disallowable

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