Laurel Securities Pvt. Ltd., Kolkata V. ITO, Ward 58(3), TDS, Kolkata, Kolkata

ITA 1465/KOL/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 5937 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-07-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2002-2003
• Appeal Filed On: 11-07-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A BHATTACHERJEE
• Assessee Lawyers: YASH VARDHAN BAID
• Section: 201(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH D KOLKATA BEFORE SHRI P.M.JAGTAP, ACCOUNTANT MEMBER AND SHRI S.S.GODARA, JUDICIAL MEMBER ITA NO.1465/KOL/2016 ASSESSMENT YEAR:2002-03 LAUREL SECURITIES PVT. LTD., 313, TODI CHAMBERS, 2, LAL BAZAR STREET, KOLKATA-70001 [ PAN NO. AAACL 4545 J ] / V/S . INCOME TAX OFFICER, WARD-58(3), TDS 10B, MIDDLETON ROW, 8 TH FLOOR, KOLKATA-700071 /APPELLANT .. /RESPONDENT /BY APPELLANT SHRI YASH VARDHAN BAID, /BY RESPONDENT SHRI A. BHATTACHERJEE, ADDL. CIT-DR /DATE OF HEARING 23-07-2018 /DATE OF PRONOUNCEMENT 31-07-2018 /O R D E R PER S.S.GODARA, JUDICIAL MEMBER:- THIS ASSESSEES APPEAL FOR ASSESSMENT YEAR 2002-03 ARISES AGAINST COMMISSIONER OF INCOME TAX (APPEALS)-24, KOLKATAS ORDER DATED 15.04.2016, UPHOLDING THE ASSESSING OFFICERS ACTION TREATING I T TO BE AN ASSESSEE IN DEFAULT ON ACCOUNT OF NON DEDUCTION OF TDS ON INTEREST AMOUNT OF 1,02,342/- PAID TO THE PAYEE M/S FORWARD LOOKING ADVISORY SERVICES PVT. LTD. THE REBY RAISING THE DEMAND IN QUESTION OF 34,965/-, INVOLVING PROCEEDINGS U/S 201(1)/201(1A) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THERE DOES NOT APPEAR TO BE ANY DISPUTE PER SE B ETWEEN THE PARTIES SO FAR AS THE BASIC FACT IS THAT ASSESSEE HAS NOT DEDUCTED TDS AM OUNT ON THE IMPUGNED INTEREST AMOUNT PAID TO THE COMPANY PAYEE M/S FORWARD LOOKIN G ADVISORY SERVICES PVT. LTD., TO THE TUNE OF 3,15,374/-. THE ASSESSING OFFICER NOTICED ASSESSEE S ABOVE FAILURE IN ITA NO.1465/KOL/2016 A.Y. 2002-03 LAUREL SECURITIES PVT. LTD. VS. ITO WD-58 (3) TDS, KOL. PAGE 2 NOT DEDUCTING TDS. HE ACCEPTED THE FACT THAT AN AMO UNT OF 2,13,932/- PAID AS INTEREST WAS VERY WELL COVERED AS PER NECESSARY CERTIFICATE U/S 197(1) OF THE ACT. THERE WAS NO SUCH CERTIFICATE REGARDING BALANCE INTEREST FIGURE OF 1,02,342/-. THE ASSESSING OFFICER ACCORDINGLY TREATED THE ASSESSEE TO BE AN ASSESSEE IN DEFAULT U/S 201 AND 201(1A) OF THE ACT TO COMPUTE THE DEMAND IN QUESTION OF 2,873/- AND 14,092/-; TOTALING TO 34,965/- AS UPHELD IN COURSE OF THE LOWER APPELLATE PROCEEDINGS. 3. LEARNED AUTHORIZED REPRESENTATIVE VEHEMENTLY CON TENDS FOR SOMETIME THAT ITS PAYEES FORM NO.15AA DATED 18.03.2002 ISSUED UP TO 31.03.2002 VERY WELL COVERED THE REMAINING PAYMENTS IN QUESTION AS WELL. HE THEN INFORMS US THAT THE SAID PAYEE HAS ALREADY BEEN ASSESSED QUA THE CORRESPONDING INTEREST INCOME AS PER ITS AUDIT ED ACCOUNTS, COMPUTATION AND INCOME TAX RETURN ACKNOWL EDGEMENT FORMING PART OF THE CASE FILE. HE FAILS TO DISPUTE THE FACT THAT ALL TH ESE DOCUMENTS RELEVANT FOR NECESSARY VERIFICATION HAVE NOWHERE BEEN CONSIDERED BY THE LO WER AUTHORITIES. WE THEREFORE RESTORE THE INSTANT ISSUE BACK TO THE ASSESSING OFF ICER FOR NECESSARY VERIFICATION AS PER LAW U/S 201(1) 1 ST PROVISO AS PER LAW AFTER AFFORDING ADEQUATE OPPORT UNITY OF HEARING TO ASSESSEE. 4. THIS ASSESSEES APPEAL IS ACCEPTED FOR STATISTIC AL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON 31/07/2018 SD/- SD/- ( !) (#$ !) (P.M.JAGTAP) (S.S.GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER *DKP-SR.PS % - 31/07/2018 / KOLKATA / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-LAUREL SECURITIES PVT. LTD. 313, TODI CH AMBERS, 2, LAL BAZAR STREET, KOLKATA-001 2. /RESPONDENT-ITO WD-58(3), TDS, 10B, MIDDLETON ROW, 8 TH FL, KOLKATA-71 3. ( + / CONCERNED CIT 4. + - / CIT (A) 5. , $$( , ( / DR, ITAT, KOLKATA 6. 0 / GUARD FILE. BY ORD ER/ , /TRUE COPY/ SR. PRIVATE SECRETARY, HEAD OF OFFICE/DDO (,