SHRI NAVNEET SINGH , AMRITSAR V. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, AMRITSAR

ITA 266/ASR/2022

AI Insights

The case revolves around an appeal by Sh. Navneet Singh against the order of the CIT(A) National Faceless Appeal Centre, Delhi, which confirmed an addition of Rs.8,84,661 on account of disallowance of TDS under section 43B of the Income Tax Act, 1961 for the Assessment Year 2020-21. The primary contention was that a rectification order from CPC, Bengaluru had already reduced this demand to Rs.25,400, which had been paid by the assessee. The tribunal, upon reviewing the rectification and the payment, found the CIT(A)'s order to be infructuous and allowed the appeal, quashing the CIT(A)'s order.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 114591 (ITAT-AMRITSAR)
• Duration Of Justice: 3 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-04-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 26-04-2023
• Assessment Year: 2020-2021
• Appeal Filed On: 29-12-2022
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Rectification of order; TDS
• Section: 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER I.T.A. No. 266/Asr/2022 Assessment Year: 2020-21 Sh. Navneet Singh 415-A Basant Avenue Amritsar [PAN: ARJPS 0366H] (Appellant) V. DCIT/ACIT Circle-1, Amritsar (Respondent) Appellant by Sh. Virkram Dass, Adv. Respondent by Sh. Ravinder Mittal, Sr. DR Date of Hearing : 27.04.2023 Date of Pronouncement : 28.04.2023 ORDER Per Dr. M. L. Meena, AM: This appeal has been filed by the assessee against the order of the Ld. CIT(A) National Faceless Appeal Centre (NFAC), Delhi dated 02.11.2022 in respect of Assessment Year: 2020-21 challenging therein I.T.A. No. 266/Asr/2022 Navneet Singh v. DCIT/ACIT 2 confirming of an addition of Rs.8,84,661/- on account of disallowance of TDS u/s 43B. 2. At the outset, the ld. counsel for the assessee has submitted that the ld. CIT(A) has erred in law and on facts of the case in confirming the addition of Rs.8,84,661/- on account of disallowance of TDS u/s 43B, since the aforesaid sum of Rs.8,84,661/- has been reduced to Rs.25,400/- by rectification order passed by CPC, Bengluru vide rectification order u/s 154 of the I.T. Act, 1961, dated 03.06.2022 whereby the net payable demand has been reduced to Rs.25,400/- (APB pg. 24 & 25 of the order). The ld. counsel has contended that the said demand has been duly paid by the assessee vide Challan No. 03971 and BSR Code 0014431 dated 07.12.2022 (APB pg. no. 10). He prayed that the issue of the addition made on account of TDS stand settled by way of rectification order passed by the CPC (supra). Hence, the impugned order become infructuous and may be quashed accordingly. 3. Per contra, the ld. DR has not disputed the facts as regard to the demand settled by way of rectification order passed by the CPC(supra). 4. We have heard both the sides, perused the material on record. It is evident from the rectification order passed u/s 154 of the I. T. Act dated I.T.A. No. 266/Asr/2022 Navneet Singh v. DCIT/ACIT 3 03.06.2022 by CPC, Bengluru, Tax demand was reduced to Rs.25,400/- (APB pg. no. 24 of the rectification order). Further, the assessee without contesting, deposited, the balance tax demand of Rs.25,400/- vide Challan No. 03971 dated 07.12.2022 (APB pg. no. 10). Since, the issue stand settled by way of rectification order passed by the CPC, Bengluru, and therefore, the order passed by the ld. CIT(A) becomes infructous and accordingly, the appellant assessee request to withdraw this appeal is allowed. 5. Accordingly, the order of the CIT(A) is held to be perverse to the facts on the record and as such quashed. 6. In the result, the appeal filed by the assessee is allowed. Order pronounced in the open court on 28.04.2023 Sd/- Sd/- (Anikesh Banerjee) (Dr. M. L. Meena) Judicial Member Accountant Member *GP/Sr./P.S.* Copy of the order forwarded to: (1)The Appellant (2) The Respondent (3) The CIT (4) The CIT (Appeals) (5) The DR, I.T.A.T. True Copy By Order