M/s Ludwig Pfeiffer Gypsums Structure India Pvt. Ltd., New Delhi V. DCIT, New Delhi

ITA 445/DEL/2011

• Counselvise Citation: 44520114 RSA 2011
• Duration Of Justice: 8 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-10-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Next Hearing Date: 12-10-2011
• Assessment Year: 2007-2008
• Appeal Filed On: 25-01-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: Y KAKKAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D NEW DELHI BEFORE SHRI R.P. TOLANI AND SHRI K.D. RANJAN ITA NO. 445/DEL/2011 ASSTT. YR: 2007-08 M/S LUDWIG PFEIFFER GYSUMS VS. DCIT, CIRCLE 4(1) , STRUCTURE INDIA PVT. LTD. NEW DELHI. 185-A, POCKET-B, MAYUR VIHAR-II, NEW DELHI. PAN/GIR NO. AABCL2124L (APPELLANT ) ( RESPONDENT ) APPELLANT BY : SHRI AJAY WADHWA ADV. ASSESSEE BY : MS. Y. KAKKAR, DR O R D E R PER R.P.TOLANI, J.M : THIS IS ASSESSEES APPEAL AGAINST CIT(A)S ORDER D ATED 2-11-2010 RELATING TO A.Y. 2007-08. THE ONLY EFFECTIVE GROUND RAISED IS AS UNDER: THAT ON FACTS AND IN LAW, THE LD. CIT(A) HAS ERRED IN CONFIRMING THE AOS ORDER IN DISALLOWING RS. 4,63,7 70/- U/S 40(A)(IA) OF THE INCOME-TAX ACT, 1961 ON THE GROUND THAT TDS MADE ON 28-02-2007 WAS DEPOSITED AFTER 31 ST MARCH 2007. 2. LEARNED COUNSEL FOR THE ASSESSEE CONTENDS THAT T DS ON FREIGHT BILL OF RS. 4,63,770/-,DEDUCTED BY THE ASSESSEE COMPANY ON 28-2-2007, WAS DEPOSITED ON 10-7-2007 I.E. BEFORE DUE DATE OF FIL ING OF THE RETURN. LOWER AUTHORITIES, HOWEVER, DISALLOWED THE EXPENDITURE ON THE GROUND THAT REQUISITE TDS DEPOSITED U/S 40(A)(IA) WAS NOT MADE BEFORE 31- 3-20007. RELIANCE IS PLACED ON THE JUDGMENT OF ITAT IN THE CASES OF: (I) KANUBHAI RAMJIBHAI VS. ITO (2011) 135 TTJ (AHD) 364 . (II) BANSAL PARIVAHAN (INDIA) (P) LTD. VS. ITO (2011) 13 7 TTJ (MUMBAI) 319. 2 (III) KULWANT SINGH VS. ITO (2011) 005 TAX CORP(AT) 25248 (AHD.) HOLDING THAT IF THE TDS PAYMENT IS MADE BEFORE DUE DATE OF FILING OF THE RETURN, THE EXPENDITURE IS TO BE ALLOWED. 3. LEARNED DR IS HEARD. 4. WE HAVE HEARD RIVAL CONTENTIONS. IN THE ABOVE R EFERRED CASES ITAT BENCHES HAVE SQUARELY HELD THAT NO DISALLOWANCE CAN BE MADE U/S 40(A)(IA) IF THE TDS IS DEPOSITED BY THE ASSESSEE BEFORE DUE DATE OF FILING OF THE RETURN. IN THIS CASE THE TDS BEING DEPOSITED BEFORE THE DUE DATE OF FILING OF THE RETURN, THE DISALLOWANCE MADE BY THE AO AND SUS TAINED BY THE CIT(A) IS DELETED. 5. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON 13-10-2011. SD/- SD/- (K.D. RANJAN ) ( R.P. TOLANI) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 13-10-2011. MP COPY TO : 1. ASSESSEE 2. AO 3. CIT 4. CIT(A) 5. DR 3