DCIT 15(2)(2), MUMBAI V. PRINT HOUSE (INDIA) P.LTD, MUMBAI

ITA 4143/MUM/2015

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 3708 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-08-2016
• Appeal Filed By: Department
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 03-07-2015
• Court: TRIBUNAL
• Department Lawyers: UDAY BHASKAR JAKKE
• Keywords: Tax effect
• Section: 43B

Judgement Text

IN THE INC OME TAX APPELLATE TRIBUNAL B BENCH, MUMBAI BEFORE SHRI R.C . SHARMA, A M AND SHRI SANDEEP GOSAIN, JM ./ I.T.A. NO. 4143 /MUM/2015 ( / ASSESSMENT YEAR: 2011 - 12 ) THE DY. COMMISSIONER OF INCOME TAX 15(2)(2), ROOM NO. 403, 4 TH FLOOR, AAYKAR BHAVAN, MAHARSHI KARVE ROAD, M UMBAI - 400 020 . / VS. M/S. PRINT HOUSE (INDIA) PVT. LTD. PLOT NO.6, DATTA MANDIR ROAD BHANDUP (WEST), MUMBAI - 400 078. ./ ./ PAN/GIR NO. AAACM 5669E ( / APPELLA NT ) : ( / RESPONDENT ) / APPELLANT BY : SHRI UDAY BHASKAR JAKKE / RESPONDENT BY : NONE / DATE OF HEARING : 21 /07 /2016 / DATE OF PRONOUNCEMENT : 03.08.2016 / O R D E R PER R.C. SHARMA , A. M.: THIS IS AN A PPEAL BY THE REVENUE DIRECTED AGAINST THE ORDER BY THE COMMISSIONER OF INCOME TAX (APPEALS) - 24 , MU MB AI (CIT(A) FOR SHORT) DATED 09.04 . 2015 FOR THE ASSESSMENT YEAR (A.Y.) 2011 - 12 . 2 ITA NO. 4143 / M UM/2015 (A.Y. 2011 - 12 ) DCIT VS. PRINT HOUSE (INDIA) P. LTD. 2. IN THIS APPEAL REVENUE IS AGGRIEVED FOR DELETING DISALLOWANCE MADE BY AO U/S 36(1)(VA) R.W.S. 2(24)(X) OF THE ACT. WE HAVE GONE THROUGH ORDERS OF AUTHORITIES BELOW AND FOUND THAT AO HAS DISALLOWED EMPLOYEES CONTRIBUTION TO PF U/S 36(1)(VA) R.W.S. 2(24)(X) ON THE PLEA IT WAS PAID AFTER DUE DATE. 3. BY THE IMPUGNED ORDER CIT(A) ALLOWED ASSESSEE S CLAIM BY OBSERVING AS UNDER: I HAVE CAREFULLY CONSIDERED THE FINDING OF THE AO AND THE SUBMISSIONS ABOVE. IN SUPPORT OF THE CONTENTION THAT SECTION 43B IS NOT APPLICABLE TO PAYMENTS MADE BEYOND THE DUE DATE IN RESPECT OF EMPLOYEES CONTRIBUTION TO PF/ESIC AS PER PROVISIONS OF SECTION 36(1)(VA) THE APPELLANT RELIED ON THE DECISION OF ITAT MUMBAI IN THE CASE OF M/S. PRANAV ADITYA SPINNING MILLS IN ITA NO.6855/MUM/2008 AND THE JURISDICTIONAL HC DECISION IN T HE CASE OF HINDUSTAN ORGANIC CHEMICALS LTD. 366 ITR 1. I FIND THE ISSUE IS SQUARELY COVERED BY THE DECISION OF THE HIGH COURT IN THE ABOVE MENTIONED CASE. 4. THE ISSUE UNDER CONSIDERATION IS SQUARELY COVERED BY THE BOMBAY HIGH COURT 366 ITR 1 WHEREIN IT WAS HELD THAT IF THE CONTRIBUTION IS PAID BEFORE LAST DATE U/S 36(1)(VA) R.W.S. 2(24)(X) THE SAME CANNOT BE DISALLOWED. HONBLE HIGH COURT IN THE CASE OF CIT VS. ALOM EXTRUSION LTD 319 ITR 306 HELD THAT PROVISION TO SECTION 43B BY THE FINANCE ACT 2003 RETROSPECTIVE W.E.F. 01.04.1998. ACCORDINGLY CONTRIBUTION PAYABLE BY THE EM PLOYEE TO THE PF OR ANY OTHER MODE FOR THE WELFARE OF THE EMPLOYEES WAS ALLOWABLE IF PAID BEFORE DUE DATE O F FILING RETURN 3 ITA NO. 4143 / M UM/2015 (A.Y. 2011 - 12 ) DCIT VS. PRINT HOUSE (INDIA) P. LTD. OF INCOME. IN THIS CASE CIT(A) DISALLOWED THE DISALLOWANC E OF RS. 1 9.67 LAKHS EVEN TAX EFFECT IS LESS THAN RS.10 LAKHS. IN TERMS OF CIRCULAR CBDT INSTRUCTION NO.21/2015 DATED 10.12.2015 APPEAL OF REVENUE IS NOT MAINTAINABLE. 5 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOU NCED IN THE OPEN COU RT ON 3 RD AUGUST , 201 6 SD/ - SD/ - ( SANDEEP GOSAIN ) ( R.C. SHARMA) / JUD I C I AL MEMBER / ACCOU NTANT MEMBER MUMBAI ; DATED : 03.08 .201 6 PS. ASHWINI / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. ( ) / THE CIT(A) 4. / CIT - CONCERNED 5. , , / DR, ITAT, MUMBAI 6. / GUARD F ILE / BY ORDER, / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBA I.