TDS payment: Kingfisher Airlines challenges I-T dept order

Kingfisher Airlines (KFA) has filed an appeal in Income Tax Appellate Tribunal (ITAT) challenging the I-T department's assessment order on TDS payments, reports CNBC-TV18’s Swati Khandelwal Jain.

Kingfisher Airlines has indeed gone ahead and challenged I-T department’s assessment order on TDS payments. CNBC-TV18 understands that Kingfisher Airlines has actually gone ahead and filed an appeal in ITAT for TDS assessment for three years. It has talked about FY11, FY12 and FY13. In its appeal, it has pointed out that the I-T department has erred in holding the assess default under section 201. It also disputes the TDS demand of Rs 304 crore by the I-T department for these three years. It also disputes the interest on the TDS demand for these three years, which amounts to about Rs 67.9 crore. In its appeal, Kingfisher Airlines has said that the I-T order is opposed to law, facts, circumstances, equity and natural justice. It also goes on to say that the notice, proceedings and order are all bad in law, it’s without jurisdiction and are invalid. In its appeal, it’s also pointed out that the I-T department did not give adequate opportunity to Kingfisher Airlines. It has appealed to the ITAT to cancel the order by the I-T department. So, CNBC-TV18 now understands that the hearing on this case is slated sometime in June. So, we will have to really wait and watch what happens on this appeal made by Kingfisher Airlines.