Makcur Laboratories Ltd., Gandhinagar V. The Dy.CIT, CPC, TDS, Gaziabad

ITA 1093/AHD/2015

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 0346 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 5 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-10-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 13-10-2016
• Assessment Year: 2013-2014
• Appeal Filed On: 29-04-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: R R SHAH
• Keywords: Opportunity of being heard

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI R.P. TOLANI, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ./ ITA NO. 1093/AHD/2015 / ASSESSMENT YEAR : 2013-14 MAKCUR LABORATORIES LTD, BLOCK NO.46/5-6-7, POST ZAK DEHGAM ROAD, GANDHINAGAR PAN : AABCM 0523 C VS DCIT, CPC-TDS, GHAZIABAD / (APPELLANT) / (RESPONDENT) ASSESSEE BY : SHRI R.R. SHAH, AR REVENUE BY : SHRI SUMIT KUMAR VERMA, SR DR / DATE OF HEARING : 13/10/2016 / DATE OF PRONOUNCEMENT: 14/10/2016 / O R D E R PER R.P. TOLANI, JUDICIAL MEMBER:- THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-7, AHMEDABAD D ATED 19.02.2015 FOR ASSESSMENT YEAR 2013-14. 2. THE EFFECTIVE GROUND RAISED BY THE ASSESSEE READ S AS UNDER:- THE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN PAS SING THE EX-PARTE ORDER LEVYING SHORT PAYMENT OF TDS OF RS.10,324/- AND INT EREST OF RS.1,515/- THEREON U/S 200A OF THE INCOME-TAX ACT. 3. THE LD. COUNSEL FOR THE ASSESSEE CONTENDS THAT T HE PAYEES WERE NOT HAVING PAN NUMBER, THE ACCOUNTANT OF THE ASSESSEE U NDER MISTAKEN BELIEF DEDUCTED 1% TDS AS AGAINST 2%. THE SHORT PAYMENT O F TDS WAS DEMANDED ITA NO. 1093/AHD/2015 MAKCUR LABORATORIES LTD VS. DCIT AY : 2013-14 2 BY AO AGAINST WHICH THE ASSESSEE PREFERRED FIRST AP PEAL. IN THE MEANWHILE, THE PAYEES HAD PAID THE TAXES ON THEIR RELEVANT INC OME. CONSEQUENTLY, IN VIEW OF THE HONBLE SUPREME COURT JUDGMENT IN THE C ASE OF HINDUSTAN COCA-COLA BEVERAGES (P) LTD. VS. CIT, REPORTED IN ( 2007) 293 ITR 226 (SC), THE PAYER WAS NOT LIABLE FOR SHORTAGE IN TDS. THE ASSESSEE BY APPLICATION DATED 12.02.2015 FILED NECESSARY DOCUMENTS DEMONSTR ATING THE PAYMENT OF TAXES BY THE PAYEES. THE LD. CIT(A), HOWEVER, IGNO RED THESE DETAILS AND VIDE ORDER DATED 19.02.2015 PASSED AN EX-PARTE ORDER WITHOUT CONSIDERING THE ASSESSEES DOCUMENTS AND THE HONBLE SUPREME CO URT JUDGMENT IN THE CASE OF HINDUSTAN COCA-COLA BEVERAGES (P) LTD (SUP RA). IT IS REQUESTED THAT IN THE INTEREST OF JUSTICE, THE MATTER MAY BE SET A SIDE AND RESTORED BACK TO THE FILE OF LD. CIT(A) TO DECIDE THE SAME AFRESH AFTER CONSIDERING THE RELEVANT EVIDENCE ABOUT THE PAYMENT OF TAXES BY PAYEES AND T HE HONBLE SUPREME COURT JUDGMENT IN THE CASE OF HINDUSTAN COCA-COLA B EVERAGES (P) LTD (SUPRA) AND IN ACCORDANCE WITH LAW, AFTER PROVIDING THE ASSESSEE ADEQUATE OPPORTUNITY OF BEING HEARD. 4. LD. DEPARTMENTAL REPRESENTATIVE SUPPORTED THE OR DERS OF THE AUTHORITIES BELOW. 5. WE HAVE HEARD THE RIVAL CONTENTIONS, PERUSED THE MATERIAL AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHOR ITIES BELOW. THE ASSESSEE VIDE ITS LETTER DATED 12.02.2015 BROUGHT O N RECORD THE EVIDENCE TO THE EFFECT THAT PAYEES HAVE PAID THE RELEVANT TAXES ON THE INCOME RECEIVED FROM THE PAYER. IN OUR CONSIDERED VIEW, LD. CIT(A) SHOULD HAVE CONSIDERED THE EVIDENCE AND THE JUDGMENT OF HONBLE SUPREME CO URT IN THE CASE OF HINDUSTAN COCA-COLA BEVERAGES (P) LTD (SUPRA). IN VIEW THEREOF, WE ARE INCLINED TO SET ASIDE THE MATTER BACK TO THE FILE O F LD. CIT(A) TO DECIDE THE ITA NO. 1093/AHD/2015 MAKCUR LABORATORIES LTD VS. DCIT AY : 2013-14 3 ISSUE AFTER CONSIDERING THE RELEVANT EVIDENCE AND T HE HONBLE SUPREME COURT JUDGMENT IN THE CASE OF HINDUSTAN COCA-COLA B EVERAGES (P) LTD (SUPRA). THUS, THIS APPEAL OF THE ASSESSEE IS ALLO WED FOR STATISTICAL PURPOSES. 6. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON 14 TH OCTOBER, 2016 AT AHMEDABAD. SD/- SD/- (MANISH BORAD) ACCOUNTANT MEMBER R.P. TOLANI (JUDICIAL MEMBER) AHMEDABAD; DATED 14/10/2016 *BIJU T. / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , , / DR, ITAT, AHMEDABAD 6. / GUARD FILE . / BY ORDER, TRUE COPY / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD