New Delhi: The Mumbai Income-Tax Appellate Tribunal (ITAT) has held that Passenger Service Fees (PSF) paid by Jet Airways (India) to the Airport Authority of India (AAI) is not liable to TDS. The tribunal also dismissed the revenue department's appeal claiming a TDS liability of R34.40 crore and another penal interest liability of R239.54 crore against the airline.
The taxman, in this case, had issued notice to the airline directing it to explain as to why TDS had not been deducted by the company from the PSF paid to AAI for AY 2010-11.
Jet, in turn, told the assessing officer that PSF is a statutory levy collected by the airport operators in its fiduciary capacity to be eventually turned over to the government, adding that it was only collecting the PSF from the passengers on behalf of the airport operators and was paying the same to the airport operators.
08/11/13 Kaushal Shroff/Financial Express
To Read the News in full at Source, Click the Headline
The taxman, in this case, had issued notice to the airline directing it to explain as to why TDS had not been deducted by the company from the PSF paid to AAI for AY 2010-11.
Jet, in turn, told the assessing officer that PSF is a statutory levy collected by the airport operators in its fiduciary capacity to be eventually turned over to the government, adding that it was only collecting the PSF from the passengers on behalf of the airport operators and was paying the same to the airport operators.
08/11/13 Kaushal Shroff/Financial Express
