Section 206C of the Income-tax Act, 1961—Collection of tax at source— For the purpose of Section 206C, the scrap has been defined as waste and scrap from the manufacture or mechanical working of material which is definitely not usable because of the reason of breakage, cutting, wear and other reasons and the scrap sold by the railway was certainly not usable due to its breakage or wear and tear and it was also subjected to TCS for which the assessee has not raised any objection and once the assessee has accepted the goods purchased from the railway as scrap and allowed the TCS then the resale of the same goods by the assessee will not part take a different character, therefore, in view of the undisputed fact that what was purchased by the assessee is scrap subjected to TCS then the resale of the same material is also be treated as scrap and there is no scope of re-classification of the these goods at the time of sale, therefore, there was merit or substance in the contention of the assessee - PRAMOD KUMAR JAIN V/s ITO - [2020] 27 ITCD Online 034 (ITAT-JAIPUR)