“Paid” vs “Payable” issue u/s 40(a)(ia) finally resolved by Supreme Court in Palam Gas Service [03-05-2017]

Supreme Court Ends the “paid” vs . “payable”  controversy on section 40(a)(ia). Held that Disallowance u/s Section 40(a)(ia) for TDS default not to be restricted to amounts payable but also when it is paid. Punjab and Haryana High Court in PMS Diesel upholding the same view confirmed . Allahabad High Court in CIT v. Vector Shipping Services (P) Ltd. did not decide the question of law correctly.

[Supreme Court Order dated 03-05-2017 in Palam Gas Service ]