M/s IGSP Technology Centre India Pvt. Ltd., Chandigarh V. ITO (TDS) - II, Chandigarh

ITA 1114/CHANDI/2012

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 0697 (ITAT-CHANDIGARH)
• Duration Of Justice: 2 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-01-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 30-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J S NAGAR
• Assessee Lawyers: KRISHAN KUMAR
• Keywords: Principle of natural justice
• Section: 201(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH B, CHANDIGARH BEFORE MS. SUSHMA CHOWLA, JUDICIAL MEMBER AND SHRI MEHAR SINGH, ACCOUNTANT MEMBER ITA NO. 1114/CHD/2012 (ASSESSMENT YEAR : 2008-09) IGSP TECHNOLOGY CENTRE INDIA PVT.LTD., VS. THE INCO ME TAX OFFICER,(TDS)-III 5750-A, WEST OF SECTOR 38-A, CHANDIGARH. CHANDIGARH. PAN: PTLI0227A (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI KRISHAN KUMAR RESPONDENT BY : SHRI J.S.NAGAR, DR DATE OF HEARING : 15.01.2013 DATE OF PRONOUNCEMENT : 24.01.2013 O R D E R PER SUSHMA CHOWLA, J.M, : THE APPEAL FILED BY THE ASSESSEE IS AGAINST THE ORD ER OF THE COMMISSIONER OF INCOME-TAX (APPEALS),CHANDIGARH DAT ED 24.09.2012 RELATING TO ASSESSMENT YEAR 2008-09 AGAINST THE ORD ER PASSED U/S 201(1)/201(1A) OF THE INCOME TAX ACT, 1961 (IN SHOR T THE ACT). 2. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE REA D AS UNDER: 1. THAT THE LD. CIT (A) IS NOT JUSTIFIED IN NOT GI VING THE PROPER OPPORTUNITY OF HEARING WHICH IS AGAINST THE NATURAL JUSTICE. 2. THAT THE LD. CIT (A) IS NOT JUSTIFIED IN CONFIRM ING THE DEMAND OF RS.1,520/- U/S. 201(1)/201(1A) OF THE I.T. ACT. 3. THAT THE LD. CIT (A) IS NOT JUSTIFIED IN CONFIRM ING THE DEMAND OF RS.920/- ON ACCOUNT OF AMOUNT DEDUCTED BUT NOT PAID WHEREAS THE APPELLANT HAS PAID WHOLE OF THE SAID AMOUNT. 4. THAT THE LD. CIT (A) IS NOT JUSTIFIED IN CONFIRM ING THE DEMAND OF INTEREST AMOUNTING TO RS.600/- ON ACCOUNT OF AMOUNT DEDUCTED BUT NOT DEPOSITED. 2 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E HAD FILED E-TDS STATEMENT IN FORM NO.26Q FOR THE FIRST QUARTER ON 1 7.8.2007. THE ASSESSING OFFICER NOTED THAT THE ASSESSEE THOUGH HA D DEDUCTED TDS OF RS.920/- BUT HAD NOT DEPOSITED THE SAID SUM IN TREA SURY. THUS THE ASSESSEE WAS HELD TO BE LIABLE TO PAY THE DEMAND OF RS.920/- UNDER SECTION 201(1) AND INTEREST OF RS.600 UNDER SECTION 201(1A) OF THE ACT. THE TOTAL DEMAND RAISED AGAINST THE ASSESSEE WAS RS .1520/-. 4. THE CIT (APPEALS) CONFIRMED THE ORDER OF THE ASS ESSING OFFICER. THE ASSESSEE IS IN APPEAL AGAINST THE SAME. 5. THE LEARNED A.R. FOR THE ASSESSEE POINTED OUT TH AT SUM OF RS.920/- WAS DEPOSITED BY THE ASSESSEE WITHIN THE TIMEFRAME ALLOWED. THE SUM OF RS.410/- AND RS.510 WERE DEPOSITED ON 14.5.2007. 6. THE LEARNED D.R. FOR THE REVENUE PLACED RELIANCE ON THE ORDERS OF THE AUTHORITIES BELOW. 7. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORD. THE ONLY ISSUE RAISED IN THE PRESENT APPEAL IS AGAINST NON-DEPOSIT OF TAX AT SOURCE. THE ASSESSING OFFICER HELD THE ASSESSEE TO HAVE DEFAULTED UNDER SECTION 201(1) AND 201(1A) OF THE ACT AS ACCORDING TO HIM THE ASSESSEE HAD DEDUCTED SUM OF RS.920/- WHICH WAS NOT DEPOSITE D BY THE ASSESSEE. THE PLEA OF THE ASSESSEE, ON THE OTHER HAND, IS THA T THE SAID AMOUNT WAS PAID WITHIN THE TIMEFRAME ALLOWED UNDER THE STATUTE . THE ASSESSEE HAS PLACED ON RECORD COPIES OF TWO CHALLANS EVIDENCING PAYMENT OF RS.920/-. IN CASE THE AMOUNT HAS BEEN DEPOSITED BY THE ASSESS EE NO DEFAULT CAN BE ATTRIBUTED UNDER SECTION 201(1) OF THE ACT. SIMILA RLY, NO INTEREST IS CHARGEABLE UNDER SECTION 201(1A) OF THE ACT IN CASE THE AMOUNT HAS BEEN PAID IN TIME. WE DIRECT THE ASSESSING OFFICER TO V ERIFY THE FACTUM OF PAYMENT OF RS.920/- MADE BY THE ASSESSEE AND IN CAS E THE ASSESSEE HAS SO 3 DEPOSITED THE AMOUNT THE DEMAND CREATED UNDER SECTI ON 201(1) BE CANCELLED AND INTEREST UNDER SECTION 201(1A) OF THE ACT BE DELETED IN CASE THE AMOUNT HAS BEEN DEPOSITED IN TIME. REASON ABLE OPPORTUNITY OF HEARING SHALL BE AFFORDED TO THE ASSESSEE. 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 24 TH DAY OF JANUARY, 2013. SD/- SD/- (MEHAR SINGH) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 24 TH JANUARY, 2013 *RATI* COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/TH E CIT/THE DR. ASSISTANT REGISTRAR, ITAT, CHANDIGARH