Payment by newspaper company to news agencies is covered u/s.194J

PrintPDF

IN THE ITAT HYDERABAD BENCH ‘A’

ACIT v. Ushodaya Enterprises (P.) Ltd.

IT Appeal Nos. 1699 to 1701 and 1706 to 1708 (Hyd.) of 2008

[Assessment Years 2004-05 to 2006-07]

Date of pronouncement – 22.03.2021

The work carried out by newspaper agents requires professional qualifications and skills. Though the data collected by such reporters has to be reviewed, glossed up and made fit to be published /presented. Nevertheless, procurement of the basic data cannot be done without qualified reporters who utilize their professional skills for collection of the same. Further, the newspapers employ reporters who have been trained to have interrogative ability, presence of mind and have been specialized in doing their work and, hence, they are rendering work in their professional capacity. Hence, the Commissioner (Appeals) was justified in deducing TDS under section 194J and not under section 194C.