ACIT, Jaipur V. RAJASTHAN RAJYA VIDYUT UTPADAN NIGAM LTD., Jaipur

ITA 23/JPR/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 99405 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 9 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-10-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 08-01-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P C PARWAL CA DHK
• Section: 43B; 139

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES, JAIPUR JH VKJ-IH-RKSYKUH] U;KF;D LNL; ,OA JH FOE FLAG ;KN O] YS[KK LNL; DS LE{K BEFORE: SHRI R.P. TOLANI, JM & SHRI VIKRAM SINGH YA DAV, AM VK;DJ VIHY LA-@ ITA NOS. 23 /JP/2014 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2007-08 THE ACIT CIRCLE- 6 JAIPUR CUKE VS. M/S. RAJASTHAN RAJYA VIDYUT UTPADAN NIGAM LTD. VIDYUT BHAWAN, JANPATH, JYOTI NAGAR, JAIPUR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AABCR 7436 B VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT VK;DJ VIHY LA-@ ITA NOS. 24 /JP/2014 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2007-08 THE ACIT CIRCLE- 6 JAIPUR CUKE VS. M/S. RAJASTHAN RAJYA VIDYUT PRASARAN NIGAM LTD. VIDYUT BHAWAN, JANPATH, JYOTI NAGAR, JAIPUR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AABCR 8312 A VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS@ REVENUE BY : SHRI M.S. MEENA, CIT -DR FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI P.C. PARWAL , CA LQUOKBZ DH RKJH[K@ DATE OF HEARING : 20/10/2015 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 26 /10/2015 VKNS'K@ ORDER PER R.P. TOLANI, JM:- BOTH THESE APPEALS HAVE BEEN FILED BY THE REVENUE AGAINST TWO DIFFERENT ORDERS OF THE LD. CIT(A), JODHPUR (CAMP AT JAIPUR) DATED ITA NO. 23/JP/2014 ACIT ,CIRCLE-6,JAIPUR VS. M/S. RAJASTHAN RAJYA VID YUT UTPADAN NIGAM LTD. , JAIPUR . 2 04-11-2013 FOR THE ASSESSMENT YEAR 2007-08 WHEREIN FOLLOWING GROUNDS HAVE BEEN RAISED BY THE REVENUE. ITA NO. 23/JP/2014 A.Y. 2007-08 (I) (A) WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. CIT(A) HAS ERRED IN DELETING ADDITION OF RS. 4,96,16,314/- MADE FOR DEPOSITING THE EMPLOYEES CONTRIBUTION TO CPF & GPF BEYOND THE PRESCRIBED TIME LIMIT PROVIDED IN RESPECTIVE ACTS. (B) WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. CIT(A) HAS ERRED IN HOL DING THAT EMPLOYEES CONTRIBUTION TO PF ARE GOVERNED BY THE PROVISION OF SECTION 43B AND NOT BY SECTION 36(1)(VA) R.W.S. 2(24)(X) OF I.T. ACT. ITA NO. 24/JP/2014 A.Y. 2007-08 (I) (A) WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. CIT(A) HAS ERRED IN DELETING ADDITION OF RS. 12,15,66,018/- MADE FOR DEPOSITING THE EMPLOYEES CONTRIBUTION TO CPF, GPF & ESI BEYOND THE PRESCRIBED TIME LIMIT PROVIDED IN RESPECTIVE ACTS. (B) WHETHER ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. CIT(A) HAS ERRED IN HOL DING THAT EMPLOYEES CONTRIBUTION TO PF ARE GOVERNED BY THE PROVISION OF SECTION 43B AND NOT BY SECTION 36(1)(VA) R.W.S. 2(24)(X) OF I.T. ACT. ITA NO. 23/JP/2014 ACIT ,CIRCLE-6,JAIPUR VS. M/S. RAJASTHAN RAJYA VID YUT UTPADAN NIGAM LTD. , JAIPUR . 3 2.1 THE LD. COUNSEL FOR THE ASSESSEE AT THE OUTSET CONTENDS THAT THE ISSUE IN QUESTION IS COVERED IN FAVOUR OF THE ASSES SEE BY FOLLOWING HON'BLE RAJASTHAN HIGH COURT JUDGEMENTS IN ASSESSE E'S OWN CASE. (I) CIT VS. JAIPUR VIDYUT VITRAN NIGAM LTD. (2014) 363 ITR 307 (RAJ.) THE ASSESSEE CLAIMED PAYMENT O F GPF, CPF AND ESI U/S 36(1)(VA) R.W.S. 43B OF THE I. T. ACT ON THE GROUND THAT THE SAME WAS DEPOSITED ON OR BEFORE THE DUE DATE OF FURNISHING IT RETURN U/S 139 > THE AO DISALLOWED THE PAYMENT ON THE GROUND THAT THOUGH THE AMOUNT WAS PAID BY THE ASSESSEE BUT WAS NOT PAID WITHIN THE DUE DATE AS GIVEN UNDER THE RESPECTIVE ACTS OF GPF, CPF AND ESI. IT WAS HELD TH AT THE EMPLOYEES CONTRIBUTION TOWARDS GPF, CPF AND ESI DEPOSITED BY THE ASSESSEE ON OR BEFORE THE DUE DATE OF FILING THE RETURN U/S 139, THOUGH BEYOND TH E DUE DATE AS GIVEN UNDER THE RESPECTIVE ACTS, CANNOT BE DISALLOWED U/S 43B OR 36(1)(VA). IT IS FURTHER CONTENDED THAT HON'BLE RAJASTHAN HIG H COURT IN FOLLOWING TWO CASES HAVE ADOPTED THE SIMILAR VIEW. (I) CIT VS. STATE BANK OF BIKANER & JAIPUR (2014) 363 ITR 70 (RAJ.) WHERE PF AND / OR EPF, CPF, GPF ETC. WAS PAID AFTER THE DUE DATE UNDER THE ITA NO. 23/JP/2014 ACIT ,CIRCLE-6,JAIPUR VS. M/S. RAJASTHAN RAJYA VID YUT UTPADAN NIGAM LTD. , JAIPUR . 4 RESPECTIVE ACTS BUT BEFORE FILING OF RETURN OF INCO ME TAX U/S 139(1), IT COULD NOT BE DISALLOWED U/S 43B OR 36(1)(VA) (II) CIT VS. UDAIPUR DUGDH UTPADAK SAHKARI SANGH LTD. (2014) 366 ITR 163 (RAJ.) PAYMENT OF EMPLOYEES CONTRIBUTION TOWARDS PF AND ESI MADE BELATEDLY BUT WITHIN THE DUE DATE OF FILING OF RETU RN, CANNOT BE DISALLOWED U/S 43B. IN ALL THESE JUDGEMENTS, IT HAS BEEN HELD BY THE HO N'BLE RAJASTHAN HIGH COURT THAT BELATED PAYMENTS OF CPF, GPF AND ESI OF EMPLOYEES CONTRIBUTION IF PAID BEFORE DUE DATE OF FILING OF RETURN, IS AN ALLOWABLE EXPENDITURE. THE LD. AR OF THE ASSESSEE FURTHER SUB MITTED THAT IN ASSESSEE'S CASE THE RELEVANT PAYMENTS WERE MADE BEF ORE DUE DATE OF FILING OF RETURN. THEREFORE, REVENUES APPEALS MAY BE DISM ISSED. 2.2 THE LD. DR IS HEARD. 2.3 WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. WE FIND MERIT IN THE ARGUMENTS OF THE LD. AR OF THE ASSESSEE. RESPECTFULLY FOLLOWING THE DECISION OF HO N'BLE RAJASTHAN HIGH COURT IN THE CASE OF THE ASSESSEE (SUPRA) AND IN T HE CASES OF CIT VS. STATE BANK OF BIKANER & JAIPUR AND CIT VS. UDAIPUR DUGDH UTPADAK SAHAKARI ITA NO. 23/JP/2014 ACIT ,CIRCLE-6,JAIPUR VS. M/S. RAJASTHAN RAJYA VID YUT UTPADAN NIGAM LTD. , JAIPUR . 5 SANGH LTD. (SUPRA), WE UPHOLD THE ORDERS OF THE LD . CIT(A). THUS BOTH THE APPEALS OF THE REVENUE ARE DISMISSED. 3.0 IN THE RESULT, THE APPEALS OF THE REVENUE ARE D ISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 26 /10/20 15. SD/- SD/- FOE FLAG ;KNO VKJ-IH-RKSYKUH (VIKRAM SINGH YADAV) (R.P.TOLANI) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 26 /10/ 2015 *MISHRA VKNS'K DH IZFRFYFI VXZSFKR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE ACIT, CIRCLE- 6, JAIPUR 2. IZR;FKHZ@ THE RESPONDENT- M/S. RAJASTHAN RAJYA VIDYUT UTPADA N NIGAM LTD. AND M/S. RAJASTHAN RAJYA VIDYUT PRA SARAN NIGAM LTD. 3. VK;DJ VK;QDRVIHY ) @ CIT(A) 4. VK;DJ VK;QDR@ CIT 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO.23/JP/2014) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR