ITO (TDS), Moradabad V. M/s. Canra Bank, Moradabad

ITA 3992/DEL/2013

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 3752 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 4 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 15-05-2017
• Assessment Year: 2006-2007
• Appeal Filed On: 26-06-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: F R MEENA
• Assessee Lawyers: UMESH SINGH SR MANAGER
• Keywords: Period of limitation; Time period of passing order
• Section: 201(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: B NEW DELHI BEFORE SHRI G.D. AGRAWAL, HONBLE PRESIDENT AND SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER ITA NO. 3992/DEL /2013 ASSESSMENT YEAR: 2006-07 INCOME TAX OFFICER(TDS), MBD, M/S CANARA BANK, AMROHA GATE, MORADABAD. VS M/S CANARA BANK, AMROHA GATE, MORADABAD. (TAN: LKNCO5458F) (APPELLANT) (RESPONDENT) C.O. NO. 246/DEL/2013 (IN ITA NO. 3992/DEL /2013) ASSESSMENT YEAR: 2006-07 M/S CANARA BANK, AMROHA GATE, MORADABAD. (TAN: LKNCO5458F) VS INCOME TAX OFFICER(TDS), MBD, M/S CANARA BANK, AMROHA GATE, MORADABAD. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI F.R. MEENA, SR. DR RESPONDENT BY: SHRI UMESH SINGH, SR. MANAGER DATE OF HEARING : 23.10.2017 DATE OF PRONOUNCEMENT: 31.10.2017 ORDER PER BENCH: THIS APPEAL HAS BEEN PREFERRED BY THE DEPARTME NT AGAINST THE ORDER PASSED BY THE LD. CIT(A), BAREILLY FOR FINANC IAL YEAR 2006-07 ITA NO. 3992/D/2013 & CO 246/D/2013 ASSESSMENT YEAR 2006-07 2 WHEREIN VIDE ORDER DATED 6.3.2013, THE LD. CIT(A) H AD QUASHED THE ORDER DATED 24.01.2012 PASSED BY THE ITO(TDS) M ORADABAD AS HAVING BEEN BARRED BY LIMITATION. THE CO HAS BE EN PREFERRED BY THE ASSESSEE AND SUPPORTS THE ORDER PASSED BY TH E LD. CIT(A). 2. THE FACTS OF THE CASE ARE THAT ORDER U/S 201(1 ) AND 201(1A) OF THE INCOME TAX ACT, 1961 WAS PASSED ON 20.01.2012 R AISING A DEMAND AGAINST THE DEDUCTOR/ASSESSEE AMOUNTING TO R S. 14,69,781/-. THE DEMAND PERTAINS TO QUARTER 4 OF F INANCIAL YEAR 2006-07. AS PER THE DEMAND GENERATED BY THE SYSTEM , THERE WAS A SHORT PAYMENT OF RS. 8,70,670/-. 3. THE ASSESSEE PREFERRED AN APPEAL BEFORE THE LD . CIT(A) AND CONTENDED THAT THE CASE WAS BARRED BY LIMITATION AS THE STATEMENT IN FORM 26Q WAS FILED BY THE ASSESSEE ON 17.7.2007 AND, THEREFORE, AS PER THE PROVISIONS OF SECTION 20 1(3) OF THE INCOME TAX ACT, 1961, THE ORDER SHOULD HAVE BEEN PA SSED BEFORE THE EXPIRY OF TWO YEARS FROM THE END OF THE FINANCI AL YEAR IN WHICH THE STATEMENT WAS FILED. IT WAS SUBMITTED THAT AS THE FINANCIAL YEAR ENDED ON 31.03.2008, THE ORDER SHOULD HAVE BEE N PASSED ON OR BEFORE 31.3.2010. HOWEVER, THE ORDER WAS PASSED ON 24.1.2012. THE LD. CIT(A) ALLOWED THE ASSESSEES A PPEAL BY HOLDING THAT THE ORDER WAS BARRED BY LIMITATION AND NOW, THE ITA NO. 3992/D/2013 & CO 246/D/2013 ASSESSMENT YEAR 2006-07 3 DEPARTMENT HAS APPROACHED THE ITAT CHALLENGING QUAS HING THE ORDER OF THE LD. CIT(A). 4. THE LD. SR. DR SUBMITTED THAT THERE WAS AN AME NDMENT TO SECTION 201(3) OF THE ACT WHICH HAD COME INTO EFFEC T FROM 1.4.2010 ONLY AND BEFORE THAT, THERE WAS NO TIME LI MIT FOR PASSING ORDER U/S 201(1) OF THE ACT AND, THEREFORE, THE LD. CIT(A) HAD ERRED IN HOLDING THAT THE ORDER WAS BARRED BY LIMIT ATION. 5. MR. UMESH SINGH, SENIOR MANAGER OF THE ASSESSEE BANK APPEARING ON BEHALF OF THE ASSESSEE, SUBMITTED THAT THE ORDER WAS PASSED ON 20.01.2012 AND WAS, THEREFORE, VERY M UCH COVERED BY THE AMENDMENT WHICH CAME INTO EFFECT ON 1 ST APRIL, 2010. RELIANCE WAS PLACED ON THE ORDER OF THE LD. CIT(A). 6. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS UNDISPUTED THA T THE AMENDMENT TO SECTION 201(3) CAME INTO EFFECT FROM 1 ST APRIL, 2010 AND IT IS ALSO UNDISPUTED THAT THE ORDER UNDER CHAL LENGE WAS PASSED ON 21.1.2012. THEREFORE, THE ORDER WAS VERY MUCH PASSED BEYOND THE LIMITATION PERIOD. ALTHOUGH THE LD. DR HAS SUPPORTED THE ORDER OF THE ASSESSING OFFICER, HE CO ULD NOT POINT OUT ANY LEGAL INFIRMITY IN THE PROVISION APPLIED BY THE LD. CIT(A). ITA NO. 3992/D/2013 & CO 246/D/2013 ASSESSMENT YEAR 2006-07 4 UNDER THE CIRCUMSTANCES, WE DO NOT FIND ANY REASON TO INTERFERE WITH THE FINDINGS RECORDED BY THE LD. CIT(A) AND WE DISMISS THE DEPARTMENTS APPEAL. 7. THE C.O. OF THE ASSESSEE BEING FILED IN SUPPORT OF ORDER OF THE LD. CIT(A) STANDS ALLOWED. 8. IN THE RESULT, THE APPEAL OF THE DEPARTMENT IS D ISMISSED WHILE THE C.O. OF THE ASSESSEE IS ALLOWED. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 31 ST OCTOBER, 2017. SD/- SD/- (G.D. AGRAWAL) (SUDHANSHU SRIVASTAVA) PRESIDENT JUDICIAL MEMBER DATED: 31ST OCTOBER, 2017 GS COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER ASSISTANT REGI STRAR