Kiran Kommercial Watches , Secunderabad V. Deputy Commissioner of Income Tax ,circle-10(1), Hyderabad

ITA 468/Hyd/2021

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 6886 (ITAT-HYDERABAD)
• Duration Of Justice: 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-12-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Assessment Year: 2018-2019
• Appeal Filed On: 14-11-2021
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VENKATA TEJOMURTHY
• Section: 43B; 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES “SMC”, HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER ITA No.468/Hyd/2021 Assessment Year: 2018-19 Kiran Kommercial Watches, Secunderabad, Telangana. PAN : AADFK0204B. Vs. DCIT, CPC, Bangalore. (Appellant) (Respondent) Assessee by: None. Revenue by : Shri Venkata Tejomurthy. Date of hearing: 06.12.2021 Date of pronouncement: 07.12.2021 ORDER PER S.S. GODARA : This assessee’s appeal for AY.2018-19 arises from the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi’s order dated 21.09.2021 in case No.ITBA/ NFAC/S/250/2021-22/1035759350(1) involving proceedings under section 250 of Income Tax Act, 1961 (in short, “the Act”). 2. Coming to the sole substantive issue of ESI/PF disallowance of Rs.1,14,262/- made in both the lower proceedings, the assessee’s and Revenue’s plea(s) before me are that the same had been paid before the due date of filing Sec.139(1) return and after the due date prescribed in the corresponding statutes; respectively. I notice in this factual backdrop that the legislature has not only ITA No.468/Hyd/2021 Page 2 of 2 incorporated necessary amendment in Sections 36(1)(va) as well as u/s. 43B vide Finance Act, 2021 to this effect but also the CBDT has issued Memorandum of Explanation that the same applies w.e.f. 01-04-2021 only. It is further not an issue that the foregoing legislative amendments have proposed employers’ contribution/ disallowance u/s.43B as against employee’s contribution u/s.36(va) of the Act; respectively. However, keeping in mind the fact that the same has been clarified to be applicable only with prospective effect from 01-04-2021 only, I hold that the impugned disallowance is not sustainable in view of all these latest developments. The impugned ESI/PF disallowance is deleted therefore. 3. This assessee’s appeal is allowed in above terms. Order pronounced in the Open Court on 7 th December, 2021. Sd/- Sd/- (S.S.GODARA) JUDICIAL MEMBER Hyderabad, dated 7 th December, 2021. TYNM / sps Copy to: S.No Addresses 1 Kiran Kommercial Watches, 1-7-297/14 and 15, 125, M.G. Road, Secunderabad, Telangana. 2 The DCIT, CPC, Bangalore, Karnataka. 3 Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi. 4 DR, ITAT Hyderabad Benches 5 Guard File. By Order