Sh. Bijender Singh, Gurgaon V. ITO, Gurgaon

ITA 1548/DEL/2014

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 2700 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 9 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-01-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 2
• Next Hearing Date: 04-01-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 14-03-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K K JAISWAL
• Assessee Lawyers: SANJAY ROHILA
• Section: 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES : SMC-II : NEW DELHI BEFORE SHRI R.S. SYAL, AM & MS SUCHITRA KAMBLE, JM ITA NO.1548/DEL/2014 ASSESSMENT YEAR : 2006-07 BIJENDER SINGH, PROP. B.S. ENTERPRISES, OLD MANASER ROAD, KHANDSA, GURGAON. PAN: BAAPS1730C VS. ITO, WARD II(2), GURGAON. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI SANJAY ROHILA, ADVOCATE DEPARTMENT BY : SHRI K.K. JAISWAL, DR DATE OF HEARING : 04.01.2016 DATE OF PRONOUNCEMENT : 05.01.2016 ORDER PER R.S. SYAL, AM: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER PASSED BY THE CIT(A) ON 10.1.2014 PURSUANT TO THE ORDER PASSE D BY THE AO U/S 154 OF THE INCOME-TAX ACT, 1961 (HEREINAFTER ALSO CALLE D THE ACT) IN RELATION TO THE ASSESSMENT YEAR 2006-07. ITA NO.1548/DEL/2014 2 2. FIRST TWO GROUNDS ARE AGAINST THE SUSTENANCE OF ADDITION OF RS.3,25,706/- ON ACCOUNT OF DIFFERENCE OF AMOUNT CR EDITED TO THE PROFIT & LOSS ACCOUNT AND AS PER TDS CERTIFICATES. THE LD . AR RAISED AN ORAL GROUND AGAINST THE SUSTAINABILITY OF ADDITION OF RS .2,78,9335/- ON ACCOUNT OF LATE PAYMENT OF EMPLOYEES CONTRIBUTION OF PROVIDENT FUND, WHICH WAS ALSO RAISED BEFORE THE LD. CIT(A) BUT INA DVERTENTLY OMITTED TO BE INCLUDED IN THE MEMO OF APPEAL. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RELEVANT MATERIAL ON RECORD. IN SO FAR AS THE FIRST ISSUE I S CONCERNED, THE AO RECTIFIED THE ORDER BY OBSERVING THAT THE ASSESSEE CREDITED A SUM OF RS.75,09,460/- TO THE PROFIT & LOSS ACCOUNT AGAINST THE TDS CERTIFICATES SHOWING RECEIPT OF RS.78,35,166/-, THEREBY LEADING TO LOWER OFFERING OF INCOME TO THE TUNE OF RS.3,75,706/-. THE LD. AR CO NTENDED THAT THE DIFFERENTIAL AMOUNT OF RS.3,25,706/- WAS, IN FACT, OFFERED FOR TAXATION IN THE SUCCEEDING YEAR WHICH FACT HAS NOT BEEN TAKEN C ARE OF BY THE AO. AS REGARDS THE SECOND ISSUE ABOUT THE DISALLOWANCE ON ACCOUNT OF LATE PAYMENT OF EPF AMOUNTING TO RS.2,78,935/-, THE LD. AR CONTENDED THAT ITA NO.1548/DEL/2014 3 THOUGH THE AMOUNT WAS PAID BEYOND THE STIPULATED TI ME UNDER THE EPF ACT, BUT, SUCH AMOUNT WAS PAID WELL BEFORE THE DUE DATE OF FILING RETURN U/S 139(1) OF THE ACT. WE OBSERVE THAT THERE IS NO REFERENCE TO THESE CONTENTIONS OF THE ASSESSEE EITHER IN THE ORDER U/S 154 OR IN THE IMPUGNED ORDER. THE ASSESSEE HAS MADE OUT A CASE THAT THE P ROCEEDINGS U/S 154 WERE COMPLETED WITHOUT PROVIDING ADEQUATE OPPORTUNI TY TO THE ASSESSEE AND THE SAME THING HAPPENED DURING THE COURSE OF FI RST APPELLATE PROCEEDINGS AS WELL. UNDER THESE CIRCUMSTANCES, WE ARE OF THE CONSIDERED OPINION THAT THE INTEREST OF JUSTICE WOU LD MEET ADEQUATELY IF THE IMPUGNED ORDER IS SET ASIDE AND THE MATTER IS R ESTORED TO THE FILE OF AO. WE ORDER ACCORDINGLY AND DIRECT THE AO TO DECI DE THESE TWO ISSUES AFRESH, AS PER LAW, AFTER ALLOWING A REASONABLE OPP ORTUNITY OF BEING HEARD TO THE ASSESSEE. 4. IN THE RESULT, THE APPEAL IS ALLOWED FOR STATIST ICAL PURPOSES. THE ORDER PRONOUNCED IN THE OPEN COURT ON 05.01.201 6. SD/- SD/- [SUCHITRA KAMBLE] [R.S. SYAL] JUDICIAL MEMBER ACCOUNTANT MEMBER ITA NO.1548/DEL/2014 4 DATED, JANUARY, 2016. DK COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR, ITAT AR, ITAT, NEW DELHI.