B.B.KAR, Rourkela V. ITO. Ward-1, Rourkela

ITA 29/CTK/2022

• Counselvise Citation: [2022] 106 COUNSELVISE.COM (IT) 4128 (ITAT-CUTTACK)
• Duration Of Justice: 5 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-08-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2019-2020
• Appeal Filed On: 03-03-2022
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 22

Judgement Text

आयकर अपीऱीय अधिकरण, कटक न्यायपीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK श्री जाजज माथन, न्याययक सदस्य एवं श्री अरुण खोड़पऩया ऱेखा सदस्य के समक्ष । BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI ARUN KHODPIA, ACCOUNTANT MEMBER ITA No.29/CTK/2022 (नििाारण वषा / Asses s m ent Year :2019-2020) B.B.Kar, F-4, Ci vi l T o wnsh ip , Rour kela P AN No. AAE FB 91 22 C ..................As sess ee Versus IT O, W ard-1, Rourk ela ....................Revenue Shri Sandeep Kumar Jena, Advocate for the assessee Shri S.C.Mohanty, Sr. DR for the Revenue Date of Hearing : 23/08/2022 Date of Pronouncement : 23/08/2022 आदेश / O R D E R Per Bench : This is an appeal filed by the assessee against the order of the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi, dated 28.09.2021 for the assessment year 2019-2020. 2. At the outset, we found that the appeal of the assessee is barred by 12 days. In this regard, the assessee has filed an application along with affidavit stating reasons for condonation of delay, to which ld.DR did not object. Thus, we condone the delay of 12 days in filing the present appeal and the appeal is heard finally. ITA No.29/CTK/2022 2 3. The only issue in this appeal is the confirmation of disallowance u/s.43B of the Act in respect of the delay in payment of PF & ESI under the respective Acts but paid before the due date of filing of the return. It was the submission by the ld.AR that the assessee had filed return of income on 25.10.2019. The return came to be processed u/s.143(1) of the Act on 06.03.2020, wherein the delayed payment in respect of the PF & ESI had been disallowed. It was the submission that the disallowance has been made holding that there has been an amendment to Section 36(1)(va) by the Finance Act, 2021. It was the submission that on appeal the ld.CIT(A) has also confirmed the disallowance. It was also the submission that the amendment to Section 36(1)(va) of the Act was prospective in nature as has been held by the Delhi Bench of the Tribunal in ITA No.5204/Del/2017 in the case of T.V.Today Network Ltd. order dated 27.07.2022. It was the submission that the disallowance is not permissible in an intimation u/s.143(1) of the Act insofar as the amendment is prospective in nature. The issue becomes a debatable issue. 4. In reply, ld. Sr. DR vehemently supported the orders of the AO and CIT(A). 5. We have considered rival submissions. As it is noticed that the Hon’ble Delhi High Court in the case of TV Today Network Ltd., in ITA No.227 of 2022, vide judgment dated 29.07.2021 has categorically held that the amendment to section 36(1)(va) by the Finance Act, 2021 is to operate prospectively. In the present case it is noticed that the issue is ITA No.29/CTK/2022 3 with regard to allowability of PF and ESIC paid beyond the prescribed date but within the due date of filing of return, therefore, the same is allowable. This issue has also been decided by this Bench of the Tribunal in ITA No.140/CTK/2021, Odyssey Motors Pvt. Ltd., order dated 17.08.2022, in favour of the assessee. In view of the above, we are of the opinion that the view as taken by the AO and ld CIT(A) is erroneous and same stands reversed. 6. In the result, appeal of the assessee stands allowed. Order dictated and pronounced in the open court on 23/08/2022. Sd/- (अरुण खोड़पऩया) (ARUN KHODPIA) Sd/- (जाजज माथन) (GEORGE MATHAN) ऱेखा सदस्य/ ACCOUNTANT MEMBER न्यानयक सदस्य / JUDICIAL MEMBER कटक Cuttack; ददनाांक Dated 23/08/2022 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनिलऱपप अग्रेपषि/Copy of the Order forwarded to : आदेशाि ु सार/ BY ORDER, (Assistant Registrar) आयकर अपीऱीय अधिकरण, कटक/ITAT, Cuttack 1. अऩीऱाथी / The Appellant- B.B.Kar, F-4, Ci vi l T o wnsh ip , Rour kela 2. प्रत्यथी / The Respondent- IT O, W ard-1, Rourk ela 3. आयकर आय ु क्त(अऩीऱ) / The CIT(A), 4. आयकर आय ु क्त / CIT 5. पिभागीय प्रयतयनधध, आयकर अऩीऱीय अधधकरण, कटक / DR, ITAT, Cuttack 6. गार्ज पाईऱ / Guard file. सत्यापऩत प्रयत //True Copy//