M/s. Vasudev Electrical Corporation, Surat V. The ACIT.,(HQ)-III, Surat

ITA 391/AHD/2012

• Counselvise Citation: [2015] 120 COUNSELVISE.COM (IT) 9675 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 5 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-07-2015
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 22-07-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 10-02-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: DINESH SINGH
• Assessee Lawyers: M K PATEL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD A BENCH AHMEDABAD , BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER, AND SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER. ITA. NO.391/AHD/2012 (ASSESSMENT YEAR:2008-09) M/S. VASUDEV ELECTRICAL CORPORATION, 8, MD TOWER, NR. MINI BAZAR, VARACHHA ROAD, SURAT. 395006 APPELLANT VS. THE ASST. COMMISIONER OF INCOME-TAX (HQ)-III, SURAT. RESPONDENT PAN: AACFV9238P /BY APPELLANT : SHRI M. K. PATEL, A.R. /BY RESPONDENT :SHRI DINESH SINGH, SR. D.R. /DATE OF HEARING : 22.07.2015 /DATE OF PRONOUNCEMENT : 27.07.2015 ITA NO.391/AHD/12 A.Y. 08-09 [M/S VASUDEV ELECTRICA L CORPORATION VS. ACIT] PAGE 2 ORDER PER SHAILENDRA KUMAR YADAV, J.M: THIS APPEAL HAS BEEN FILED BY ASSESSEE AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS)-V, SURAT, DATE D 03.10.2011 FOR A.Y. 2008-09 ON FOLLOWING GROUND: 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE AS WELL AS LAW ON THE SUBJECT, THE LEARNED COMMISSIONE R OF THE INCOME TAX (APPEALS) HAS ERRED IN CONFIRMING TH E ACTION OF THE ASSESSING OFFICER IN MAKING ADDITION OF RS.3,84,424/- ON ACCOUNT OF ALLEGED LATE PAYMENT OF P.F. & E.S.I. U/S. 36(I)(V)(A) OF THE ACT. 2. ASSESSING OFFICER NOTICED THAT ASSESSEE DEBITED P.F. & ESI EXPENSES OF RS.23,98,685/- UNDER THE HEAD ADMINIST RATIVE EXPENSES IN PROFIT AND LOSS ACCOUNT. HOWEVER, ON VERIFICATION OF DETAILS FILED, HE FOUND THAT ASSESSEE HAS DEFAUL TED IN MAKING TIMELY PAYMENT OF EMPLOYEES CONTRIBUTION OF ESI & P.F. ON OR BEFORE THE DUE DATE. THEREFORE, IN VIEW OF PROVISI ONS OF SECTION 36(I)(V)(A) OF THE ACT, HE DISALLOWED THE PAYMENT O F P.F. & ESI TO THE EXTENT OF RS.3,84,424/-. SAME HAS BEEN UPHELD BY CIT(A). 2.1 WE FIND THAT ASSESSING OFFICERS ACTION IN MAKI NG ADDITION AS THE PROVISIONS OF SECTION 36(I)(V)(A) OF THE ACT DOES NOT ALLOW THE DELAY OF PAYMENT (EMPLOYEES CONTRIBUTION) IN R ESPECT OF CONTRIBUTION OF P.F. & ESI AFTER DUE DATE. HENCE, ADDITION MADE BY ASSESSING OFFICER IS JUSTIFIED. THIS VIEW IS FORTIFIED BY THE DECISION OF HONBLE GUJARAT HIGH COURT IN CASE OF CIT VS. ITA NO.391/AHD/12 A.Y. 08-09 [M/S VASUDEV ELECTRICA L CORPORATION VS. ACIT] PAGE 3 GUJARAT STATE ROAD TRANSPORT CORPORATION REPORTED A T (2014) 366 ITR 170 (GUJ.). THUS, ORDER OF CIT(A) IS UPHEL D. 3. AS A RESULT, APPEAL FILED BY ASSESSEE IS DISMISS ED. PRONOUNCED IN THE OPEN COURT ON THIS THE 27 TH DAY OF JULY, 2015. SD/- SD/- (ANIL CHATURVEDI) (SHAILENDRA KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBE R AHMEDABAD: DATED 27/07/2015 S.K.SINHA / COPY OF ORDER FORWARDED TO:- / REVENUE !# / ASSESSEE $ %&%'( ) / CONCERNED CIT * )+ / CIT (A) ,-./00'(1 '( 123#&# / DR, ITAT, AHMEDABAD 4/5678 / GUARD FILE. BY ORDER / #9 1 :; 2% '( 123#&#< STRENGTHEN PREPARATION & DELIVERY OF ORDERS IN THE ITAT 1) DATE OF TAKING DICTATION 22.07.2015 2) DIRECT DICTATION BY MEMBER STRAIGHT ON COMPUTER/LAPTOP/DRAGON DICTATE XXX 3) DATE OF TYPING & DRAFT ORDER PLACE BEFORE MEMBER 22.07.2015 4) DATE OF CORRECTION 5) DATE OF FURTHER CORRECTION 6) DATE OF FINAL SIGN BY MEMBERS 7) ORDER UPLOADED ON 8) ORIGINAL DICTATION PAD HAS BEEN ENCLOSED IN THIS FILE 9) FINAL ORDER AND 2 ND COPY SEND TO BENCH CLERK ON