Assessee is a transporter engaged in executing various contracts by engaging its own vehicles as well as vehicles of other transporters—There is nothing on record to suggest that any contract existed between the assessee and the other transporters—There is neither any written nor real agreement in this regard—AO has not made out a case that there existed contractor and sub-contractor relationship between the assessee and the alleged sub-contractor and that the latter has been engaged on some definite terms and conditions for executing the work—Therefore, assessee was not liable to deduct tax under s. 194C from the payments made to other transporters and same could not be disallowed under the provisions of s. 40(a)(ia)

R.R. CARYYING CORPORATION ITAT, CUTTACK BENCH (2009) 126 TTJ 0240