M/S. MENTOR INDIA LIMITED, Jaipur V. DCIT, CPC-TDS, GHAZIABAD

ITA 43/JPR/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 0940 (ITAT-JAIPUR)
• Duration Of Justice: 10 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-11-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 12-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J C KULHARI
• Assessee Lawyers: K L MOOLCHANDAN I

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHE -A, JAIPUR JH FOT; IKWY JKO] U;KF;D LNL; ,OA JH FOE FLAG ;KNO] YS[KK LNL; DS LE{K BEFORE: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM VK;DJ VIHY LA-@ ITA. NO. 43/JP/2018 FU/KZKJ.K O'K Z@ ASSESSMENT YEARS : 2013-14 M/S MENTOR INDIA LIMITED, MENTOR HOUSE, GOVIND MARG, SETHI COLONY, JAIPUR CUKE VS. THE DCIT, CENTRALIZED PROCESSING CELL-TDS, GHAZIABAD LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO.: JPRM02591B VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ L S@ ASSESSEE BY : SHRI K. L. MOOLCHANDANI (CA) JKTLO DH VKSJ LS @ REVENUE BY : SHRI J. C. KULHARI (JCIT) LQUOKBZ DH RKJH[ K@ DATE OF HEARING : 13/11/2018 MN?KKS'K.KK DH RKJH[ K@ DATE OF PRONOUNCEMENT : 26/11/2018 VKNS'K@ ORDER PER: VIKRAM SINGH YADAV, A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER OF LD. CIT(A)-3, JAIPUR DATED 30.10.2017. 2. THE ASSESSEE HAS CHALLENGED THE SUSTENANCE OF LA TE FILING FEES OF RS. 57,350/- CHARGED BY AO U/S 234E WHILE PROCESSIN G THE TDS RETURN (26Q) U/S 200A OF THE ACT FOR THE F.Y 2012-13 (QTR. 2ND). ITA NO. 43/JP/201 M/S MENTOR INDIA LIMITED, JAIPUR VS. DCIT, GHAZIABA D 2 3. IN ITA NO. 18, 19 & 20/JP/2017 DATED 29.10.2018 IN CASE OF TRIMURTY BUILDCON P. LTD., JAIPUR VS DCIT, GHAZIABA D, WE HAVE RECENTLY DEALT WITH AN IDENTICAL ISSUE AND OUR FINDINGS ARE REPRODUCED AS UNDER:- 7. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSE D THE MATERIAL AVAILABLE ON RECORD. IN THE PRESENT CASE, THE UNDIS PUTED FACTS ARE THAT THE ASSESSEE FILED ITS TDS RETURN (FORM 26Q) FOR TH E FOURTH QUARTER OF FINANCIAL YEAR 2012-13 ON 1.10.2013 AND THE SAME WA S PROCESSED AND INTIMATION UNDER SECTION 200A WAS ISSUED VIDE ORDER DATED 25.12.2013 MUCH PRIOR TO THE AMENDMENT TO SECTION 200A OF THE ACT W.E.F. 1.6.2015 EMPOWERING THE ASSESSING OFFICER LEVYING T HE FEES UNDER SECTION 234E OF THE ACT. IT IS THEREFORE NOT A CAS E OF CONTINUING DEFAULT WHERE THE ASSESSEE HAS DEFAULTED IN FURNISHING THE TDS STATEMENT EVEN AFTER 1.6.2015 AND THEREAFTER, THE DEMAND FOR PAYME NT OF FEES UNDER SECTION 234E HAS BEEN RAISED BY THE ASSESSING OFFIC ER. IN CASE OF FATHERAJ SINGHVI (SUPRA), THE HONBLE KARNATAKA HIG H COURT HAS HELD THAT THE PROVISIONS OF AMENDED SECTION 200A ARE PRO SPECTIVE IN NATURE. FURTHER, THE DECISION OF THE HONBLE RAJASTHAN HIGH COURT IN CASE OF M/S. DUNDLOD SHIKSHAN SANSTHAN AND OTHERS (SUPRA) A S RELIED BY LD. CIT (A) IS IN THE CONTEXT OF VALIDITY OF SECTION 234E, BUT NOT IN THE CONTEXT OF POWER OF AO FOR LEVY OF FEE UNDER SECTION 234E PRIO R TO 1.6.2015. IN VIEW OF THE ABOVE, THE ASSESSING OFFICER WHILE PROC ESSING THE TDS STATEMENTS FOR THE PERIOD PRIOR TO 01.06.2015, WAS NOT EMPOWERED TO CHARGE FEES UNDER SECTION 234E OF THE ACT. HENCE, T HE DEMAND RAISED BY WAY OF CHARGING THE FEES UNDER SECTION 234E OF T HE ACT IS NOT VALID AND THE SAME IS DELETED. 4. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IN THE PRESENT CASE, THE ASSES SEE FILED ITS TDS ITA NO. 43/JP/201 M/S MENTOR INDIA LIMITED, JAIPUR VS. DCIT, GHAZIABA D 3 RETURN (FORM 26Q) FOR THE SECOND QUARTER OF FINANCI AL YEAR 2012-13 WHICH WAS PROCESSED AND INTIMATION UNDER SECTION 20 0A WAS ISSUED VIDE ORDER DATED 25.12.2013 MUCH PRIOR TO THE AMENDMENT TO SECTION 200A OF THE ACT W.E.F. 1.6.2015 EMPOWERING THE ASSESSING OFFICER LEVYING THE FEES UNDER SECTION 234E OF THE ACT. FOLLOWING OUR DECISION REFERRED SUPRA, WE HEREBY DIRECT THE DEMAND RAISED BY WAY OF CHARGING THE FEES UNDER SECTION 234E OF THE ACT TO BE DELETED. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWE D. ORDER PRONOUNCED IN THE OPEN COURT ON 26/11/2018. SD/- SD/- FOT; IKWY JKO FOE FLAG ;KNO (VIJAY PAL RAO) (VIKRAM SINGH YADAV) U;KF;D LNL;@ JUDICIAL MEMBER YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 26/11/2018 * GANESH KR. VKNS'K DH IZFRFYFI VXZSFKR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- M/S MENTOR INDIA LIMITED, JAIPUR 2. IZR;FKHZ@ THE RESPONDENT- DCIT, CENTRALIZED PROCESSING CELL-T DS, GHAZIABAD. 3. VK;DJ VK;QDR@ CIT 4. VK;DJ VK;QDR@ CIT(A) 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR. 6. XKMZ QKBZY@ GUARD FILE { ITA NO. 43/JP/2018} VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASST. REGISTRAR