Shrinath Spinners Pvt.Ltd., Ahmedabad V. The ACIT.,Cent.Circle-1(1), Ahmedabad

ITA 431/AHD/2012

• Counselvise Citation: [2015] 120 COUNSELVISE.COM (IT) 9569 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 3 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-05-2015
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Next Hearing Date: 26-05-2015
• Assessment Year: 1999-2000
• Appeal Filed On: 16-02-2012
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: NIMESH YADAV SR DR
• Assessee Lawyers: PF JAIN
• Keywords: Reassessment proceedings
• Section: 43B

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, AHMEDABAD BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND SHRI KUL BHARAT, JUDICIAL MEMBER ./ ././ ./ ITA NO. 431/AHD/2012 / ASSESSMENT YEAR: 1999-2000 SHRINATH SPINNERS PVT LTD H.P. HOUSE, NEAR TOWN HALL, ELLISBRIDGE, AHMEDABAD PAN : AAECS 0478 H V/S. ACIT, CENTRAL CICLE-1(1) AHMEDABAD / // / (APPELLANT) / // / (RESPONDENT) ASSESSEE(S) BY : SHRI P.F. JAIN, AR REVENUE BY : SHRI NIMESH YADAV, SR. DR. !' # $%&/ // / DATE OF HEARING : 26/05/2015 '( # $%& / // / DATE OF PRONOUNCEMENT: 29/05/2015 )* )* )* )*/ // / O R D E R PER G.D. AGRAWAL, VICE PRESIDENT: THIS IS AN APPEAL FILED BY THE ASSESSEE AND IS DIRE CTED AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME-TAX(APPEALS )-I, AHMEDABAD DATED 12.12.2011, PERTAINING TO ASSESSMENT YEAR 1999-2000 . 2. IN THIS APPEAL BY THE ASSESSEE VARIOUS GROUNDS W ERE RAISED, WHICH READ AS UNDER:- 1. THE LD. C.I.T. (APPEALS) HAS ERRED IN LAW AND ON FA CTS IN UPHOLDING THE DISALLOWANCE U/S 43B OF RS.5,76,069/- WITHOUT PROPE RLY APPRECIATING THE FACTS OF THE APPELLANT. 2. HE HAS ERRED IN LAW AND ON FACTS IN UPHOLDING THE A DDITION ON THE GROUND OF NON ATTENDANCE AND NOT ON MERITS WITHOUT APPRECI ATING THE FACTS AND CIRCUMSTANCES OF THE APPELLANT. . ITA NO. 431/AHD/2012 SHRINATH SPINNERS PVT LTD VS. ACIT FOR AY 1999-2000 2 3. THE REASSESSMENT PROCEEDINGS U/S 147/148 ARE SUBMIT TED TO BE BAD-IN-LAW AND ON FACTS AS THE CONDITIONS ENVISAGED IN THE REL EVANT SECTIONS ARE NOT FULFILLED. 4. ON THE FACTS THE RETURNED LOSS OUGHT TO HAVE BEEN A CCEPTED WITHOUT ANY MODIFICATION. 5. THE APPELLANT CRAVES LEAVE TO ADD / TO ALTER AND/OR MODIFY ANY GROUNDS OF APPEAL. 3. AT THE TIME OF HEARING BEFORE US, IT WAS SUBMITT ED BY THE LD. COUNSEL THAT THE DISALLOWANCES U/S 43B HAVE BEEN MADE BY TH E ASSESSING OFFICER FOR DELAY IN DEPOSIT OF TDS IN RESPECT OF EMPLOYERS AN D EMPLOYEES CONTRIBUTION TO THE PROVIDENT FUND. HE POINTED OUT THAT THE PAYMENTS HAVE BEEN MADE DURING THE ACCOUNTING YEAR RELEVANT TO AS SESSMENT YEAR UNDER CONSIDERATION AND CERTAINLY BEFORE THE DUE DATE OF FILING OF THE RETURN. THEREFORE, AS PER SECTION 43B, NO DISALLOWANCE CAN BE MADE. HOWEVER, HE WAS FAIR ENOUGH TO MENTION THAT THE HONBLE JURISDI CTIONAL HIGH COURT IN THE CASE OF CIT VS. GUJARAT STATE ROAD TRANSPORT CO RPORATION, REPORTED IN [2014] 366 ITR 170 (GUJ.), HAS HELD THAT THE EMPLOY EES CONTRIBUTION TO THE PROVIDENT FUND IF NOT DEPOSITED WITHIN THE TIME AS PRESCRIBED BY THE PROVIDENT FUND ACT IS TO BE DISALLOWED. HE, THEREFO RE, SUBMITTED THAT THE DISALLOWANCE SHOULD BE RESTRICTED AND BE WORKED OUT AS PER THE DECISION OF HONBLE JURISDICTIONAL HIGH COURT. 4. THE LD. DEPARTMENTAL REPRESENTATIVE SUGGESTED TH AT LET THE MATTER BE SENT BACK TO THE FILE OF THE ASSESSING OFFICER FOR RE-EXAMINING THE ISSUE IN LIGHT OF THE AFORESAID DECISION OF HONBLE JURISDIC TIONAL HIGH COURT IN THE CASE OF GUJARAT STATE ROAD TRANSPORT CORPORATION (S UPRA). THE LD. COUNSEL FOR THE ASSESSEE HAS ALSO FAIRLY AGREED TO THE ABOV E SUGGESTION OF THE LD. DEPARTMENTAL REPRESENTATIVE. ITA NO. 431/AHD/2012 SHRINATH SPINNERS PVT LTD VS. ACIT FOR AY 1999-2000 3 5. IN VIEW OF ABOVE, WE SET ASIDE THE ORDERS OF THE AUTHORITIES BELOW AND RESTORE THE MATTER BACK TO THE FILE OF THE ASSESSIN G OFFICER. WE DIRECT HIM TO RE-EXAMINE THE ISSUE AND RE-WORK THE DISALLOWANCE A S PER THE DECISION OF HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF GU JARAT STATE ROAD TRANSPORT CORPORATION (SUPRA). 6. IN THE RESULT, THE ASSESSEES APPEAL IS DEEMED T O BE PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON 29 TH MAY, 2015 AT AHMEDABAD. SD/- SD/- (KUL BHARAT) JUDICIAL MEMBER (G.D. AGRAWAL) VICE-PRESIDENT AHMEDABAD; DATED 29/05/2015 BIJU T., PS )* # $+ ,)+$ )* # $+ ,)+$ )* # $+ ,)+$ )* # $+ ,)+$/ COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. $ !- / CONCERNED CIT 4. !- ( ) / THE CIT(A) 5. +01 $ , , / DR, ITAT, AHMEDABAD 6. 13 4' / GUARD FILE . )*! )*! )*! )*! / BY ORDER, TRUE COPY 5 55 5/ // / 6 6 6 6 ( DY./ASSTT.REGISTRAR) , , , , / ITAT, AHMEDABAD