- (1.) This appeal arises from the judgment of the Calcutta High Court - Indo Asahi Glass Co. V/s. ITO, 1996 222 ITR 534, which had dismissed the writ petition filed by the appellants wherein challenge was made to the show-cause notice dated 16.05.1996.
(2.) The aforesaid show-cause notice was issued on the allegation that salary had been paid to four employees who were working with the appellants in India. These employees were Japanese and the salary in question had been paid by a Japanese-company in Japan. In addition thereto, the appellants had also paid salaries to these four employees but tax had been deducted at source. The show-cause notice stated that what was paid to these four employees in Yen currency was also taxable u/s. 9 of the Income-tax Act and tax should have been deducted at source.
(3.) Instead of filing a reply to the show-cause notice, the appellants chose to file a writ petition. The Single Judge dismissed the writ petition on the ground that alternative remedy was available to the appellants. In appeal, the Division Bench took the same view. Hence, this appeal by special leave.;