The ITO, Ward-4(1), Ahmedabad V. Gujarat Terce Laboratorries Ltd., Ahmedabad

ITA 44/AHD/2011

• Counselvise Citation: 4420514 RSA 2011
• Duration Of Justice: 3 year(s) 2 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-03-2014
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 10-03-2014
• Assessment Year: 2005-2006
• Appeal Filed On: 06-01-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: J P JHANGID
• Section: 147

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH, AHMEDABAD BEFORE SHRI MUKUL KR. SHRAWAT, JUDICIAL MEMBER AND SHRI T.R. MEENA, ACCOUNTANT MEMBER ITA NO.44/AHD/2011 A.Y. 2005-06 ITO WARD 4(1), AHMEDABAD VS GUJARAT TERCE LABORATORIES LTD., 209 SAMIR, OPP. MUNICIPAL MARKET, NAVRANGPURA, AHMEDABAD. PAN: AAACG 55281 (APPELLANT) (RESPONDENT) REVENUE BY : SHRI J.P. JHANGID, SR.D.R. , ASSESSEE(S) BY : NONE / DATE OF HEARING : 10/03/2014 / DATE OF PRONOUNCEMENT: 14/03/2014 / O R D E R PER SHRI MUKUL KUMAR SHRAWAT, JUDICIAL MEMBER THIS IS AN APPEAL FILED BY THE REVENUE ARISING FROM THE ORDER OF LEARNED CIT(A)-VIII, AHMEDABAD, DATED 18.10.2010 AN D THE GROUNDS RAISED ARE REPRODUCED BELOW: 1. THE LD. CIT(A) ERRED IN LAW AND ON FACTS IN DEL ETING THE ADDITION OF RS.7,72,104/- MADE BY THE AO U/S.36(1)(VA) R.W.S. 2 (24)(X) OF THE ACT BEING THE LATE PAYMENT OF THE EMPLOYEES CONTRIBUTION TO PF AND ESI. 1.1 IN DOING SO THE LD. CIT(A) HAS ERRED IN LAW AND FACTS IN NOT APPRECIATING THE FACT THAT THE EMPLOYEES CONTRIBUTION TO PF AND ESI ARE GOVERNED SPECIFICALLY BY SECTION 36(1)(VA) R.W.S. 2(24)(X) O F THE ACT. 2. FACTS IN BRIEF AS EMERGED FROM THE CORRESPONDING ASSESSMENT ORDER PASSED U/S. 147 R.W.S. 143(3), DATED 16.04.2009 WER E THAT THE COMPANY HAS NOT DEPOSITED EMPLOYEES CONTRIBUTION TOWARDS PF AND ESI AMOUNTING TO RS.7,72,104/- WITHIN THE TIME PRESCRIBED. THE AS SESSEES REPLY WAS THAT ITA NO.44/AHD/2011 ITO WARD-4(1) AHMEDABAD VS. GUJARAT TERCE LABORATOR IES LTD. A.Y.2005-06 - 2 - THE SAID PAYMENT WAS MADE BEFORE THE END OF THE PRE VIOUS YEAR, I.E., UPTO 31 ST MARCH, 2005. HOWEVER, THE AO WAS NOT CONVINCED AND BY APPLYING THE PROVISIONS OF SECTION 2(24)(X) AND SECTION 36(1 )(VA) DISALLOWED THE SAME. 3. WHEN THE MATTER WAS CARRIED BEFORE THE FIRST APP ELLATE AUTHORITY, LEARNED CIT(A) HAS FOLLOWED THE ORDER OF THE TRIBUN AL PRONOUNCED IN ASSESSEES OWN CASE FOR A.Y. 2001-02 AND HELD THAT THE PAYMENT BEING MADE BEFORE THE DUE DATE OF FILING OF RETURN, THERE FORE, THE EMPLOYEES CONTRIBUTION WAS CORRECTLY DEPOSITED BY THE ASSESSE E. FOLLOWING THE ORDER OF THE TRIBUNAL FOR A.Y. 2001-02 HE HAS DIRECTED TO DELETE THE ADDITION. 4. ON THE DATE OF HEARING, NO ONE HAS APPEARED FROM THE SIDE OF THE RESPONDENT-ASSESSEE, HOWEVER, FROM THE SIDE OF THE REVENUE, LEARNED SR.D.R., MR. J.P. JHANGID HAS PLACED RELIANCE ON TH E ORDER OF AO AS WELL AS ON THE ORDER OF HONBLE GUJARAT HIGH COURT PRONO UNCED IN THE CASE OF CIT VS. GUJARAT STATE ROAD TRANSPORT CORPORATION, 4 1 TAXMANN.COM 100 (GUJ). 5. AFTER CONSIDERING THE ORDERS OF THE REVENUE AUTH ORITIES, WE HAVE NOTED THAT THE MONTH-WISE DEPOSIT OF THE IMPUGNED A MOUNT HAS NOT BEEN FURNISHED OR EVEN IF FURNISHED, THE SAME WAS NOT DI SCUSSED IN THE ASSESSMENT ORDER. IN THE ABSENCE OF THE DATE OF DEP OSIT, IT IS NOT PROPER FOR US TO GIVE ANY FINDING. WE, THEREFORE, REMIT THE IS SUE BACK TO THE STAGE OF THE AO TO BE DECIDED DENOVO IN THE LIGHT OF THE ORD ER OF THE JURISDICTIONAL HIGH COURT PRONOUNCED IN THE CASE OF CIT VS. GUJARAT STATE ROAD TRANSPORT CORPORATION (SUPRA) . THE AO IS ALSO DIRECTED TO READ THE ITA NO.44/AHD/2011 ITO WARD-4(1) AHMEDABAD VS. GUJARAT TERCE LABORATOR IES LTD. A.Y.2005-06 - 3 - JURISDICTIONAL HIGH COURT ORDER ALONG WITH ALOM EXTRUSION LTD., 319 ITR 300 (SC) AND VINAY CEMENT, 213 CTR 268 (SC) AND DECIDE AFRESH IN THE LIGHT OF THE LATEST LAW APPLICABLE ON THE DA TE OF GIVING EFFECT TO THE ORDER OF THE TRIBUNAL. RESULTANTLY, THIS GROUND OF THE REVENUE MAY BE TREATED AS ALLOWED FOR STATISTICAL PURPOSE ONLY. 6. IN THE RESULT, REVENUES APPEAL MAY BE TREATED A S ALLOWED FOR STATISTICAL PURPOSE ONLY. SD/- SD/- (T.R. MEENA) (MUKUL KR. SHRAWAT) ACCOUNTANT MEMBER JUD ICIAL MEMBER AHMEDABAD; DATED 14/03/2014 PRABHAT KR. KESARWANI, SR. P.S. / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A)-III, AHMEDABAD 5. , , / DR, ITAT, AHMEDABAD 6. / GUARD FILE. / BY ORDER, / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD