DCIT, Cir-1(2), Kolkata, Kolkata V. M/s. BMW Industries Limited, Kolkata

ITA 411/KOL/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 5849 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 4 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2012-2013
• Appeal Filed On: 01-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAURABH KUMAR
• Keywords: Earning of tax free income
• Section: 14A

Judgement Text

ITA NO.411/KOL/2017 M/S BMW INDUSTRIES LTD. A.Y.20 12-13 1 IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH C KOL KATA [BEFORE HONBLE SHRI J.SUDHAKAR REDDY, AM & SHRI S.S.GODARA, JM] ITA NO.411/KOL/2017 ASSESSMENT YEAR : 2012-13 D.C.I.T., CIRCLE-1(2) -VERSUS- M/S BMW INDU STRIES. LTD. KOLKATA KOLKATA (PAN: AABCB 0986 G) (APPELLANT) (RESPONDENT) FOR THE APPELLANT: SHRI SAURABH KUMAR, ADDL. CI T, SR.DR FOR THE RESPONDENT: SHRI AKKAL DUDHWEWALA, AR DATE OF HEARING : 04.07..2018. DATE OF PRONOUNCEMENT : 20.07.2018. ORDER PER S.S.GODARA, JM: THIS REVENUES APPEAL FOR A.Y. 2012-13 CALLS INTO QUESTION THE CIT(A)-12, KOLKATAS ORDER DATED 28.12.2016 PASSED IN APPEAL NO.180406/CIT(A)- 12/KOL/CIT(A)-1/DCIT,HQRS.-1/2016-17 REVERSING THE ASSESSING OFFICERS ACTION ADDING INTER-ALIA DISALLOWING/ADDING ASSESSEES CON TRIBUTION TO PF AND ESI OF RS.13,06,978/- BEYOND DUE DATE AND SECTION 14A R.W. R. 8D DISALLOWANCE OF RS.96,23,922/-; RESPECTIVELY MADE IN ASSESSMENT ORD ER DATED 31.03.2015 INVOLVING PROCEEDINGS U/S 143 (3) OF THE INCOME TAX ACT, 1961 (ACT). HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. WE COME TO THE FORMER ISSUE OF ESI/PF CONTRIBUTI ON DISALLOWANCE OF RS.,13,06,978/- MADE BY THE ASSESSING OFFICER ALLEG ING ASSESSEES LATE PAYMENT BEYOND DUE DATE. THERE IS NO DISPUTE THAT THE ASSES SEE HAS PAID THE IMPUGNED SUM BEFORE PRIOR TO THE RELEVANT DATE OF FILING RETURN PRESCRIBED U/S 139(1) OF THE ACT. THE ASSESSING OFFICER HOWEVER WAS OF THE VIEW THAT THE SAID PAYMENTS HAD BEEN MADE AFTER THE DUE DATES PRESCRIBED UNDER THE RELEVANT S PECIFIC LAWS. HE THEREFORE MADE THE IMPUGNED ADDITION AS DELETED IN THE LOWER APPELLATE PROCEEDINGS. SUFFICE TO SAY, WE ITA NO.411/KOL/2017 M/S BMW INDUSTRIES LTD. A.Y.20 12-13 2 FIND THE HONBLE JURISDICTIONAL HIGH COURTS DECISI ON IN CIT VS VIJAY SHREE LTD IN ITA NO.245 OF 2011 DECIDED ON 06.09.2011 HAS REJECT ED THE REVENUES SIMILAR ARGUMENT SEEKING TO REVIVE THE IMPUGNED DISALLOWANC E IN THE CASE INVOLVING PAYMENT OF EMPLOYEES ESI/PF DUES BEFORE FILING OF THE RETUR N. WE THUS FIND NO MERIT IN THE REVENUES INSTANT FORMER GRIEVANCE. THE SAME STANDS REJECTED ACCORDINGLY. 3. COMING TO THE REVENUES LATTER SUBSTANTIVE GROUN D THAT THE CIT(A) HAS ERRED IN LAW AS WELL AS ON FACTS IN DELETING SECTION 14A R.W .R. 8D OF RS.96,23,922/-. WE FIND THE INSTANT ISSUE ALSO TO BE NO MORE RES INTEGRA AS THE HONBLE JURISDICTIONAL HIGH COURT IN CIT VS M/S ASHIKA GLOBAL SECURITIES LTD IN ITAT 100 OF 2014, GA NO.2122 OF 2014 DECIDED ON 11.06.2018 HOLDS THAT THE SAME DOES NOT APPLY IN ABSENCE OF ANY EXEMPT INCOME HAVING BEEN DERIVED BY THE CONCERNED ASSESSEE. WE THUS CONFIRM THE CIT(A)S FINDINGS UNDER CHALLENGE QUA THE INSTANT L ATTER ISSUE AS WELL. 4. THIS REVENUES APPEAL IS DISMISSED. O RDER PRONOUNCED IN THE COURT ON 20.07.2018. SD/- SD/- [J.SUDHAKAR REDDY ] [ S.S.GODARA ] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 20.07.2018. [RG SR.PS] COPY OF THE ORDER FORWARDED TO: 1.M/S MBW INDUSTRIES LIMITED, 12/1, PARK MANSION, 5 7A, PARK STREET, KOLKATA- 700016. 2. D.C.I.T., CIRCLE-1(2), KOLKATA. 3. C.I.T.(A)-12, KOLKATA 4. C.I.T-14, KOLKAT A 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER, SENIOR PRIVATE SECRETARY HEAD OF OFFICE/D.D.O, ITAT KOLKATA BENCHES ITA NO.411/KOL/2017 M/S BMW INDUSTRIES LTD. A.Y.20 12-13 3