SUPREME COURT OF INDIA

Commissioner of Income-tax

v.

AIR LIQUIDE INDIA HOLDING (P.) LTD.

S.H. Kapadia and B. Sudershan Reddy, JJ.

I.A. No. 6 in Civil Appeal Nos. 4092-4095 of 2007

December 10, 2007

Section 260A of the Income-tax Act, 1961 – Assessee had deducted TDS from salary paid to expatriate employee – However, only after survey conducted under section 133A it deposited TDS so deducted with Government – High Court dismissed appeal filed by department under section 260A on ground that no question of law arose in present case – Whether question of law which arise for determination was whether assessee was entitled to plead reasonable cause for not depositing tax – Held, yes – Whether therefore, impugned under was to be set aside and matter was to be remitted to High Court for fresh decision– Held, yes