ITO, New Delhi V. M/s Multi-Tech Computers P Ltd., New Delhi

ITA 4559/DEL/2009

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 8179 (ITAT-DELHI)
• Duration Of Justice: 2 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-02-2010
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2006-2007
• Appeal Filed On: 03-12-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 43B; 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH E: NEW DELHI BEFORE SHRI A.D. JAIN, JUDICIAL MEMBER AND SHRI B.P. JAIN, ACCOUNTANT MEMBER I.T.A.NO.4559/DEL/2009 ASSESSMENT YEAR : 2006-07 INCOME-TAX OFFICER, M/S. MULTI TECH COMPUTERS P. LTD., WARD 5(4), NEW DELHI. VS. C-71, ANAND NIKETAN, NEW DELHI. PAN: AAACM5556 (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI JASDE EP SINGH, SR. DR. RESPONDENT BY : MS. RANO JAIN, AR. O R D E R PER B.P. JAIN, ACCOUNTANT MEMBER. THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS)-VIII, NEW DELH I, DATED 16.09.2009 IN AN APPEAL AGAINST THE ASSESSMENT FRAMED UNDER SE CTION 143(3) OF THE INCOME-TAX ACT (THE ACT). 2 2. THE REVENUE HAS RAISED THE FOLLOWING EFFECTIVE G ROUND BEFORE US:- ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LEARNED CIT(A) HAS ERRED IN DELETING THE ADDITI ON OF RS.6,18,683/- AND RS.9551/- MADE U/S 43B READ WITH SECTION 36(1)(IV) OF THE I.T. ACT BEING THE LATE DEPOSIT OF EMPLOYEES CONTRIBUTION TOWARDS EPF & ESI RESPECTIVELY. 3. BRIEF FACTS OF THE CASE ARE THAT THE PAYMENT OF EPF AND ESI WAS DELAYED BUT PAID BEFORE THE DUE DATE OF FURNISHING THE RETURN OF INCOME UNDER SECTION 139(1) OF THE ACT. THE ASSESSING OFFICER D ISALLOWED SUCH PAYMENTS AND ADDED TO THE INCOME OF THE ASSESSEE. THE LEARN ED CIT(A) RELYING UPON THE FOLLOWING DECISIONS OF VARIOUS COURTS OF LAW, A LLOWED THE CLAIM OF THE ASSESSEE:- 1. CIT VS. PM ELECTRONICS LTD., 313 ITR 161 (DEL); 2. CIT VS. VINAY CEMENT LTD., 213 CTR 268; 3. CIT VS. MEXUS COMPUTERS PVT. LTD., 313 ITR 144 (CH ENNAI); 4. KUMAR HINGES PVT. LTD. VS. ITO (2008) 12 DTR (DEL); & 5. SUHAG TRADERS (P) LTD. VS. ITO (2008) 3 DTR (DEL). 4. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE FACTS OF THE CASE. THE PAYMENT OF EPF AND ESI WAS DELAYED BUT WAS PAID BEFORE THE DUE DATE OF FURNISHING THE RETURN UNDER SECTION 139(1) OF TH E ACT. THE ISSUE IS NOW FULLY COVERED BY THE DECISION OF HONBLE SUPREME CO URT IN THE CASE OF CIT VS. ALOM EXTRUSIONS LTD., 319 ITR 306 AND THEREFORE , WE FIND NO INFIRMITY IN THE ORDER OF THE LEARNED CIT(A) WHO HAS RIGHTLY ALL OWED THE CLAIM OF THE 3 ASSESSEE SINCE THE DELAYED PAYMENT OF EPF AND ESI H AVING BEEN PAID BEFORE THE DUE DATE OF FURNISHING THE RETURN UNDER SECTION 139(1) OF THE ACT. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. PRONOUNCED IN THE OPEN COURT ON 3 RD FEBRUARY, 2010. SD/- SD/- (A.D. JAIN) (B.P. JAIN) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 3 RD FEBRUARY, 2010. COPY OF THE ORDER FORWARDED TO:- 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR BY ORDER *MG DEPUTY REGISTRAR, ITAT.