ACIT (TDS), Dehradun V. The Uttaranchal Health and Family Welfare Society, Dehradun

ITA 4912/DEL/2013

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 82106 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 2 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-11-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Next Hearing Date: 30-10-2014
• Assessment Year: misc
• Appeal Filed On: 19-08-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R S MEENA
• Assessee Lawyers: O P SAPRA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH H : NEW DELHI) BEFORE SHRI I.C. SUDHIR, JUDICIAL MEMBER AND SHRI B.C. MEENA, ACCOUNTANT MEMBER ITA NO.3093/DEL./2013 (ASSESSMENT YEAR : 2011-12) DCIT (TDS), VS. M/S. UTTARANCHAL HEALTH & FAMILY DEHRADUN. WELFARE SOCIETY, NEAR I.T. PARK, SAHASTRADHARA ROAD, DEHRADUN. (TAN : MRTU00659B) ITA NO.4912/DEL./2013 (ASSESSMENT YEAR : 2012-13) ACIT (TDS), VS. M/S. UTTARANCHAL HEALTH & FAMILY DEHRADUN. WELFARE SOCIETY, NEAR I.T. PARK, SAHASTRADHARA ROAD, DEHRADUN. (TAN : MRTU00659B) (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI O.P. SAPRA, ADVOCATE REVENUE BY : SHRI R.S. MEENA, CIT DR O R D E R PER B.C. MEENA, ACCOUNTANT MEMBER : BOTH THESE APPEALS FILED BY THE REVENUE EMANATES FR OM THE ORDERS OF THE CIT (APPEALS)-I, DEHRADUN DATED 28.02.2013 IN RESPE CT OF ITA NO.3093/DEL./2013 AND DATED 29.05.2013 IN ITA NO.49 12/DEL/2013. THE ISSUE 2 ITA NOS.3093 & 4912/DEL/2013 INVOLVED IN BOTH THE APPEALS IS COMMON, THEREFORE, THE SAME ARE BEING DISPOSED OFF BY THIS COMMON ORDER. 2. THE ASSESSEE IS A SOCIETY FIRM. IT WAS FORMED B Y DEPARTMENT OF HEALTH OF THE GOVERNMENT OF UTTARAKHAND FOR IMPLEMENTATION OF VARIOUS HEALTH RELATED SCHEMES UNDER THE NATIONAL RURAL HEALTH MISSION. T HE SOCIETY RECEIVES FUNDS AND ALLOCATES TO VARIOUS ENTITIES WHICH ARE ASSOCIA TED WITH THE WORK BEING DONE IN PUBLIC PRIVATE PARTNERSHIP MODE (PPP). AS PER R EVENUES CONTENTION, THE ASSESSEE IS A DEFAULTER IN RELATION TO THE SHORT DE DUCTION OF TDS AND ORDERS U/S 201(1)/201(1A) OF THE ACT WERE PASSED. THE CIT (A) HAS GRANTED PART RELIEF. THE CIT (A) HAS DIRECTED THE ASSESSEE TO FURNISH TH E DOCUMENTARY EVIDENCE IN SUPPORT OF THE CONTENTION BEFORE THE ASSESSING OFFI CER AND THE ASSESSING OFFICER WILL SATISFY HIMSELF ABOUT THE CORRECTNESS OF THE SAME AND MODIFY THE TAX DEMAND ACCORDINGLY. THE CIT (A) HAS ALSO HELD THAT INTEREST WILL BE CHARGEABLE FOR THE PERIOD BETWEEN THE TIME WHEN THE TAX WAS DEDUCTIBLE AND THE TIME WHEN IT WAS ACTUALLY PAID. NOW, REVENUE IS IN APPEALS BY TAKING THE FOLLOWING SIMILAR GROUNDS IN BOTH THE APPEALS EXCEP T DIFFERENCE IN FIGURES. THE GROUND IN ITA NO.3093/DEL/2013 IS REPRODUCED HEREUN DER:- THE CIT (A) HAS ERRED IN LAW AND ON FACTS IN DIREC TING THE ASSESSEE TO FURNISH THE DOCUMENTARY EVIDENCE IN SUPPORT OF I TS CONTENTION AND ALSO DIRECTING THE AO TO SATISFY HERSELF ABOUT THE CORRECTNESS OF THE SAME IN THE LIGHT OF THE DECISION OF THE APEX C OURT IN THE CASE OF HINDUSTAN COCA COLA BEVERAGE PVT. LTD. VS. CIT ( 2007) 293 (SC) WITHOUT APPRECIATING THE FACTS THAT THE SAME I S TANTAMOUNT TO SET ASIDE OF THE CASE. THE TAX EFFECT WORKS OUT TO RS.1,04,04,400/-. 3. WE HAVE HEARD BOTH THE SIDES ON THE ISSUE. AFTE R HEARING, WE FIND THAT THESE DIRECTIONS GIVEN IN APPELLATE ORDER OF THE CI T (A) WERE IN VIEW OF THE 3 ITA NOS.3093 & 4912/DEL/2013 CBDT CIRCULAR NO.275/201/95/I.T./B DATED 29.01.1997 AND THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF HINDUSTAN COCA COLA BEVERAGE P. LTD. VS. CIT REPORTED IN 293 ITR 226. THE HONBLE SUPRE ME COURT IN THE CASE OF HINDUSTAN COCA COLA BEVERAGE P. LTD. VS. CIT, CITED SUPRA, HAS HELD THAT IF THE PAYEE HAS DISCLOSED THE RECEIPT IN HIS RETURN OF IN COME AND PAID THE TAX DUE ON HIS INCOME, THE PAYER NEED NOT TO BE HELD TO BE AN ASSESSEE IN DEFAULT IN RESPECT OF THE AMOUNT OF TAX WHICH HE FAILED TO DEDUCT AT S OURCE. HOWEVER, INTEREST U/S 201(1A) OF THE ACT WOULD STILL BE PAYABLE FOR THE P ERIOD BETWEEN THE DATE WHEN THE TAX WAS DEDUCTIBLE BY THE PAYER AND THE DATE WH EN HIS TAX LIABILITY WAS DISCHARGED BY THE PAYEE. IN VIEW OF THIS SETTLED L EGAL POSITION AND FACTS BEING SIMILAR, WE FIND NO FAULT IN THE ORDERS OF THE CIT (A) FOR ASKING THE ASSESSING OFFICER TO SATISFY HIMSELF ABOUT THE CORRECTNESS OF THE CLAIM OF THE ASSESSEE AND IF NECESSARY, MODIFY THE DEMAND AS REQUESTED. THER EFORE, WE FIND NO MERITS IN THE GROUND TAKEN IN THE APPEALS OF THE REVENUE 4. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE A RE DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON THIS 14 TH DAY OF NOVEMBER, 2014. SD/- SD/- (I.C. SUDHIR) (B.C. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED THE 14 TH DAY OF NOVEMBER, 2014 TS 4 ITA NOS.3093 & 4912/DEL/2013 COPY FORWARDED TO: 1.APPELLANT 2.RESPONDENT 3.CIT 4.CIT(A)-I, DEHRADUN. 5.CIT(ITAT), NEW DELHI. AR/ITAT