ACIT, New Delhi V. M/s. Super Auto India Ltd., New Delhi

ITA 1345/DEL/2010

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 3832 (ITAT-DELHI)
• Duration Of Justice: 2 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-05-2010
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2006-2007
• Appeal Filed On: 26-03-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KISHORE B
• Assessee Lawyers: ASHWANI TANEJA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH G : NEW DELHI BEFORE SHRI R.P.TOLANI AND SHRI K.D.RANJAN ITA NO.1345/DEL/2010 ASSESSMENT YEAR : 2006-07 ACIT, CIRCLE 9(1), NEW DELHI. VS. M/S SUPER AUTO INDIA LTD., 505, CHIRANJIV TOWER, NEHRU PLACE, NEW DELHI-110049. PAN AAACS4903R (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI KISHORE B, SR. D.R. RESPONDENT BY : SHRI ASHWANI TANEJA, ADVO CATE ORDER PER K.D.RANJAN, AM: THIS APPEAL BY THE REVENUE FOR ASSESSMENT YEAR 2006 -07 ARISES OUT OF ORDER OF LD. CIT(A)-XII, NEW DELHI. 2. THE ONLY ISSUE CONSIDERATION RELATES TO DELETING THE ADDITION OF RS. 6,77,784/- MADE BY THE ASSESSING OFFICER U/S 36(1)( VA) READ WITH SEC. 2(24)(X) OF THE ACT ON ACCOUNT OF LATE PAYMENT OF P F AND ESI. THE FACTS OF THE CASE, BRIEFLY STATED, ARE THAT ASSESSEE MADE PA YMENT OF EMPLOYEES CONTRIBUTION TOWARDS PF AND ESI BELATEDLY. THE ASSE SSING OFFICER, THEREFORE, TREATED THE EMPLOYEES CONTRIBUTION AS INCOME OF TH E ASSESSEE. 2 3. ON APPEAL, THE LD. CIT(A) DELETED THE ADDITION R ELYING ON THE DECISION OF I.T.A.T. IN THE CASE OF KUBER HINGES (P) LTD. VS . ITO 12 DTR 461(DEL) AND CIT VS. NEXUS COMPUTERS (P) LTD. 12 DTR 77 (MAD .). 4. BEFORE US, IT WAS STATED BY THE LD. COUNSEL FOR THE ASSESSEE THAT THE PAYMENTS WERE MADE BELATEDLY BUT WITHIN THE PERIOD OF 5-6 DAYS FROM THE DUE DATE. THE DETAILS OF DUE DATE AND PAYMENTS MADE IS RECORDED IN THE ASSESSMENT ORDER. SINCE THE PAYMENT HAD BEEN MADE B EFORE THE DUE DATE OF FILING THE RETURN OF INCOME, NO ADDITION COULD BE M ADE U/S 36(1)(VA) READ WITH SEC. 2(24)(X) OF THE ACT. ON THE OTHER HAND, L D. SR. D.R. SUPPORTED THE ORDER OF ASSESSING OFFICER. 5. WE HAVE HEARD BOTH THE PARTIES AND GONE THROUGH THE MATERIAL AVAILABLE ON RECORD. FROM THE DETAILS AVAILABLE IN ASSESSMENT ORDER, WE FIND THAT PAYMENT HAD BEEN MADE WITHIN 5-6 DAYS OF THE D UE DATE FOR PAYMENT OF ESI AND PF. THEREFORE, IT IS A CASE WHERE THE PAYME NT HAS BEEN MADE BEFORE THE DUE DATE OF THE FILING OF THE RETURN OF INCOME. WE FIND THAT THIS ISSUE IS COVERED BY THE DECISION OF HON'BLE DELHI HIGH COURT IN THE CASE OF P.M.ELECTRONICS LTD. 220 CTR 635(DEL.) WHEREIN IT H AS BEEN HELD THAT WHERE THE EMPLOYEES CONTRIBUTION TOWARDS PF AND ESI IS M ADE BEFORE THE DUE DATE OF FILING OF THE RETURN OF INCOME U/S 36(1)(VA), NO ADDITION COULD BE MADE. RESPECTFULLY FOLLOWING THE DECISION OF HON'BLE DELH I HIGH COURT, IT IS HELD THAT LD. CIT(A) WAS JUSTIFIED IN DELETING THE ADDIT ION. ACCORDINGLY, WE DO NOT FIND ANY INFIRMITY IN THE ORDER PASSED BY THE LD. C IT(A) DELETING THE ADDITION. 3 6. IN THE RESULT, APPEAL FILED BY THE REVENUE IS DI SMISSED. ORDER PRONOUNCED IN THE OPEN COURT AFTER CLOSE OF H EARING ON 26/5/2010. SD/- SD/- (R.P.TOLANI ) ( K.D.RANJAN) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 26.05.2010. PSP COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT DEPUTY REGISTRAR