Arignar Anna Powerloom Weavers Co-op. P & S Society Ltd., Salem V. ITO TDS Ward, Salem

ITA 2871/CHNY/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 6171 (ITAT-CHENNAI)
• Duration Of Justice: 2 year(s) 2 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-02-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2014-2015
• Appeal Filed On: 27-11-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: T DINESH
• Keywords: TDS
• Section: 271E; 234E

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , D BE NCH (SMC), CHENNAI, CAMP AT COIMBATORE BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER. /I.T.A.NO.2871/CHNY/2017 ( /ASSESSMENT YEAR: 2014-15) M/S. ARIGNAR ANNA POWERLOOM WEAVERS CO-OP. P & S SOCIETY LTD, NO.SA-164, 3/401-7, ANNA NAGAR, VEMBADITHALAM ROAD SALEM 637 504. VS THE INCOME TAX OFFICER, TDS WARD, SALEM PAN: AABAA 6302M] ( / APPELLANT) ( /RESPONDENT) / APPELLANT BY : SHRI. T. DINESH, ADVOCATE /RESPONDENT BY : SHRI AR.V. SREENIVASAN, JCIT /DATE OF HEARING : 03.02.2020 ! /DATE OF PRONOUNCEMENT : 03.02.2020 O R D E R THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS), SALEM DATED 2 9.09.2017 AND PERTAINS TO THE ASSESSMENT YEAR 2014-15. 2. SHRI. T. DINESH, THE LD. COUNSEL FOR THE ASSESS EE SUBMITTED THAT THIS IS SECOND ROUND OF LITIGATION BEFORE THIS TRI BUNAL. IN THE FIRST ROUND OF 2 I.T.A. NO. 2871/CHNY/2017. LITIGATION, THE CIT(A) DELETED THE FEES LEVIED U/S. 234E OF THE ACT BY FOLLOWING THE ORDER OF THIS TRIBUNAL IN THE CASE OF G. INDHIRANI IN ITA NOS.1019, 1020 & 1021/MDS/2015, DATED 10.07.2015. HOWEVER, NO LIBERTY WAS GIVEN TO THE ASSESSING OFFICER FOR PAS SING SEPARATE ORDER FOR LEVY OF FEES. MOREOVER, SECTION 271E OF THE ACT IS ONLY A CHARGING SECTION AND THERE IS NO MACHINERY PROVISION. THEREFORE, T HE AO CANNOT PASS SEPARATE ORDER. THE LD. COUNSEL FOR THE ASSESSEE FURTHER SUBMITTED THAT INTIMATION ISSUED U/S.200A OF THE ACT WAS ALREADY S ET ASIDE BY THE CIT(A). THEREFORE, THERE IS NO BASIS FOR LEVY OF FEES. 3. ON THE CONTRARY, THE LD. DEPARTMENTAL REPR ESENTATIVE SHRI AR.V. SREENIVASAN SUBMITTED THAT FEE LEVIED UNDER SECTIO N 271E OF THE ACT IS A STATUTORY FEE FOR DELAY IN FILING STATEMENT REQUIR ED U/S.200A OF THE ACT. IN THE FIRST ROUND OF LITIGATION, THE FEE WAS LEVIED WHILE PROCESSING THE STATEMENT U/S.200A OF THE ACT. THE CIT(A) BY FOLL OWING THE ORDER OF THIS TRIBUNAL IN THE CASE OF G. INDHIRANI (SUPRA) DELETE D THE FEES ALONE, HOWEVER, INTIMATION STANDS AS IT IS. THEREFORE CONT ENTION OF THE LD. COUNSEL FOR THE ASSESSEE IS NOT CORRECT. 4. HAVING HEARD THE LD. COUNSEL FOR THE ASSESSEE AND THE LD. DEPARTMENTAL REPRESENTATIVE, THIS BENCH OF THE TRI BUNAL FOUND THAT A DIVISION BENCH OF THIS TRIBUNAL EXAMINED THE ISSUE ELABORATELY IN THE CASE OF G. INDHIRANI (SUPRA ). THE LD. CIT(A) REPRODUCED THE RELEVANT FINDINGS OF 3 I.T.A. NO. 2871/CHNY/2017. THIS TRIBUNAL. THIS TRIBUNAL FOUND THAT WHILE PRO CESSING THE STATEMENT U/S.200A OF THE ACT, THE AO CANNOT LEVY ANY FEES U/ S.234E OF THE ACT. HOWEVER, HE MAY PASS A SEPARATE ORDER U/S.234E OF T HE ACT. IN VIEW OF THE FINDINGS OF THE DIVISION BENCH OF THE TRIBUN AL, THE CIT(A) DELETED FEE LEVIED U/S.234E OF THE ACT ALONE. HOWEVER, INT IMATION ISSUED BY THE AO AFTER PROCESSING OTHER THAN THE FEES LEVIED U/S. 234E OF THE ACT STATEMENT STANDS AS IT IS. NOW, THE AO HAD LEVIED FEES U/S.234E OF THE ACT BY SEPARATE ORDER. LEVY OF FEE U/S.234E OF THE ACT IS A STATUTORY MANDATE. IT IS NOT NECESSARY FOR ANY APPELLATE AUT HORITY INCLUDING THE CIT(A) TO GIVE LIBERTY TO THE AO FOR LEVY OF SUCH F EES. THEREFORE, THIS TRIBUNAL DO NOT FIND ANY MERITS IN THE APPEAL FILED BY THE ASSESSEE. ACCORDINGLY, THE APPEAL FILED BY THE ASSESSEE STAND S DISMISSED. 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IN ITA NO.2871/CHNY/2017 FOR THE ASSESSMENT YEAR 2014-2 015 STANDS DISMISSED. ORDER PRONOUNCED IN THE COURT ON 3 RD FEBRUARY, 2020, AT CAMP AT COIMBATORE. SD/- (... ) (N.R.S. GANESAN) ' JUDICIAL MEMBER COIMBATORE , /DATED, THE 3 RD FEBRUARY 2020. KV #$ %&'& / COPY TO: 1. / APPELLANT 3. ()* / CIT(A) 5. &+, - / DR 2. / RESPONDENT 4. ( / CIT 6. ,./ / GF 4 I.T.A. NO. 2871/CHNY/2017.