Held - The first limb of argument by the learned Senior counsel for the petitioner before this Court is imposition of tax on solely on the basis of data available in Form 26AS which is obtained from the Income Tax Department. In Chatturam Holiram Ltd (Supra), the Apex Court held that there are three stages in the imposition of tax. There has to be a declaration of liability, which is the part of the statute which d.....

Held - We find that in the case of M/s. Reynolds Petro Chem Ltd. (supra), the Learned Ahmedabad Bench has exhaustively dealt with the issue and has ruled as under:-

"21. The liability of the recipient cannot arise merely from the fact that, the income-tax was deducted at source, which was the requirement of the Income-tax Act, on the recipient who made payment to the foreign supplier. Such a statutory requirement, as exists under the .....