ITO, Jaipur V. LIC OF INDIA, KOTPUTLI

ITA 548/JPR/2013

• Counselvise Citation: 54823114 RSA 2013
• Duration Of Justice: 2 year(s) 3 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-09-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 22-05-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 201(1)

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES, JAIPUR JH VKJ-IH-RKSYKUH] U;KF;D LNL; ,OA JH VH-VKJ-EHUK] YS[KK LNL; DS LE{K BEFORE: SHRI R.P. TOLANI, JM & SHRI T.R. MEENA, AM VK;DJ VIHY LA-@ ITA NO. 548/JP/2013 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2008-09 . INCOME TAX OFFICER, TDS ALWAR. CUKE VS. LIC OF INDIA, NO. 8, LIC BUILDING, NATIONAL HIGHWAY, KOTPUTLI (RAJ.) LFKK;H YS[KK LA-@THVKBZVKJ LA-@ TAN NO. JPRLO 1399 G VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS@ REVENUE BY : SMT. NEENA JEPH (JCIT) FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : NONE LQUOKBZ DH RKJH[K@ DATE OF HEARING : 11.08.2015. ?KKS'K .KK DH RKJH[K @ DATE OF PRONOUNCEMENT : 8/09/2015. VKNS'K@ ORDER PER SHRI R.P. TOLANI, J.M. THIS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF LD. CIT (A), ALWAR DATED 28.03.2013 FOR THE A.Y. 2008-09. THE GRO UND RAISED IN THE APPEAL IS AS UNDER :- THE LD. CIT (A) HAS ERRED IN NOT DIRECTING THE DEFA ULTER ASSESSEE FOR FILING CORRECTION STATEMENT IN RESPECT OF FILIN G OF WRONG SECTION IN TDS CHALLAN, DUE TO WHICH THE DEMAND IS STILL OUTSTAN DING IN THE SYSTEM AND WITHOUT DOING THAT ASKING THE AO TO GIVE RE-COMPUTE THE DEMAND AFTER ALLOWING CREDIT OF TAX DEPOSITED BY THE DEDUCTOR WHICH THE AO CAN NOT DO. 2 ITA NO. 548/JP/2013 A.Y. 2008-09 ITO TDS VS. LIC OF INDIA, KOTPUTLI. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE LI FE INSURANCE CORPORATION OF INDIA, IS ENGAGED IN THE INSURANCE BUSINESS. DURING THE YEAR UNDER CONSIDERATION, THE ASSESSEE HAS FILED TDS RETURN IN FORM NO. 24Q FO R THE 4 TH QUARTER GIVING DETAILS OF TAX DEDUCTED AND DEPOSITED THROUGH VARIO US CHALLANS UNDER TAN : JPRL 01399G. WHILE ANALYZING THE RETURN ON THE BASIS OF ENTRIES AND ON THE BASIS OF BANK CHALLANS, THE AO OBSERVED THAT THE ASSESSEE HA S COMMITTED DEFAULTS BY NON-PAYMENT OF TDS AMOUNT DEDUCTED AND ALSO MENTION ING WRONG SECTION IN THE CHALLAN. ACCORDINGLY A SHOW CAUSE NOTICE UNDER SECTI ON 201(1A) OF THE IT ACT WAS ISSUED TO THE ASSESSEE TO FILE CORRECTION STATE MENT TO RECTIFY DATA ENTRY ERRORS WITHIN 15 DAYS OF RECEIPT OF THE SHOW CAUSE NO TICE. AFTER THE EXPIRY OF STIPULATED PERIOD OF FILING THE CORRECTION STATEME NTS THE AO NOTICED DEFAULTS ON THE PART OF THE ASSESSEE AS PER JUSTIFICATION REPOR T ANNEXURE-A WHICH FORMED PART OF ASSESSMENT ORDER, AND ON THAT BASIS THE ASSESSEE WAS DECLARED ASSESSEE IN DEFAULT AND RAISED A TAX DEMAND OF RS. 28,08,180/- U/S 201(1) AND INTEREST OF RS. 13,85,930/- U/S 201(1A) OF THE IT ACT ON THE GRO UND THAT THE ASSESSEE HAS NOT PAID THE TDS AMOUNT. 3. BEING AGGRIEVED, THE ASSESSEE FILED FIRST APPEAL BEFORE LD. CIT (APPEALS) WHO HAS ALLOWED THE APPEAL PARTLY. BEFORE LD. CIT (A), THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE HAS FILED THE CORRECTION STATEMENTS AND THEREBY THE DEMAND ON ACCOUNT OF TDS DEDUCTED BUT NO T DEPOSITED HAS BEEN 3 ITA NO. 548/JP/2013 A.Y. 2008-09 ITO TDS VS. LIC OF INDIA, KOTPUTLI. REDUCED TO RS. 20,06,550/-. THE ASSESSEE HAS DEPOSIT ED THIS AMOUNT AS PER THE FOLLOWING TABLE :- S.NO TAN NO. CHALLAN TENDER DATE SER. NUM. RECEIVED DATE TDS/TCS DEDUCTED TDS/TCS DEPOSITED 1 JPRLO 1393A 19/04/2007 5 26/ 04 / 2007 6000 6000 2 JPRLO 1393A 06/06/2007 29 08/06/2007 995550 995550 3 JPRLO 1393A 06/06/2007 30 08/06/2007 40000 40000 4 JPRLO 1393A 10/07/2007 5 12/07/2007 16000 16000 5 JPRLO 1399G 06/06/2007 26 08/06/2007 22300 22300 6 JPRLO 1399G 10/07/2007 4 12/07/2007 502000 502000 7 JPRLO 1393G 05/05/2007 40 08/05/2007 424700 424700 TOTAL : 200 6550 THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT OUT OF THE ABOVE TANS, TAN NO. JPRLO 1393A AND JPRLO 1399G PERTAIN TO THE ASSESSEE AND FOR THIS PERIOD THE ASSESSEE HAD DULY FILED THE CORRECTION STATEMENT IN BOTH THE TANS RESPECTIVELY. HOWEVER, IN RESPECT OF CHALLAN DATED 05/05/2007 FOR RS. 4,24,700/-, IT WAS INADVERTENTLY DEPOSITED IN WRONG TAN I.E. JPRLO 1393 G. IT WAS FURTHER SUBMITTED THAT IN RESPECT OF CHALLAN DATED 10.07.20 07 FOR RS. 5,02,000/-, THE SAME WAS DEPOSITED UNDER WRONG SECTION INSTEAD OF SEC TION 192B. THEREFORE, IT WAS REQUESTED THAT THE AO BE DIRECTED TO MAKE REQUIR ED CORRECTIONS AND PROVIDE CREDIT IN THE CORRECT TAN AND DROP THE DEMAND AGAIN ST THE ASSESSEE. REGARDING FILING OF CORRECTION STATEMENT WHEREBY THE OUTSTANDI NG DEMAND OF RS. 28,08,180/- IS REDUCED TO RS. 20,06,550/-, THE LD. CIT (A) AFTER CONSIDERING THE ARGUMENTS AND THE EVIDENCES FURNISHED BEFORE HIM, D IRECTED THE AO TO ALLOW 4 ITA NO. 548/JP/2013 A.Y. 2008-09 ITO TDS VS. LIC OF INDIA, KOTPUTLI. NECESSARY RELIEF AFTER PROPER VERIFICATION OF THE C ORRECTION STATEMENT AND ORIGINAL CHALLAN FURNISHED BY THE ASSESSEE ON THE BASIS OF A BOVE TABLE. 4. IN RESPECT OF INADVERTENT MISTAKE BY MENTIONING WRONG SECTION IN TDS CHALLAN DATED 10.07.2007 FOR DEPOSIT OF RS. 5,02,00 0/-UNDER TAN NO. JPRL 01399G AND ALSO IN RESPECT OF TDS OF RS. 4,24,700/- VIDE CHALLAN DATED 05.05.2007 DEPOSITED IN WRONG TAN I.E. JPRL 01393G, THE LD. CIT (A) DIRECTED THE AO TO RECTIFY THE ABOVE MISTAKES AFTER VERIFICA TION FROM ORIGINAL CHALLAN AND RE-COMPUTE THE DEMAND AND INTEREST AFTER ALLOWING CR EDIT OF TDS DEPOSITED BY THE ASSESSEE. 5. WE HAVE HEARD LD. D/R AND PERUSED THE MATERIAL O N RECORD. NO ONE ATTENDED ON BEHALF OF THE ASSESSEE. IT IS NOTED THA T DEPARTMENT HAS NOT RAISED ANY CONTENTION IN RESPECT OF TDS OF RS. 4,24,700/- W HICH HAS BEEN DEPOSITED UNDER THE WRONG TAN. HOWEVER, IN RESPECT OF RS. 5,02, 000/- WHICH HAS BEEN DULY DEPOSITED UNDER ASSESSEES OWN TAN, THE DEPART MENT HAS RAISED A CONTENTION SAYING THAT THE SAME HAS BEEN DEPOSITED UNDER A WRONG SECTION. SO THE ONLY LIMITED ISSUE BEFORE US IS HOW THIS CHALLAN SHOULD BE GIVEN CREDIT OF IN THE HANDS OF THE ASSESSEE AND WHETHER THE ACTION LI ES WITH THE ASSESSEE OR WITH THE DEPARTMENT. IN ITS GROUNDS OF APPEAL, DEPARTME NT SUBMITTED THAT THE ASSESSEE SHOULD HAVE FILED A CORRECTION STATEMENT T O RECTIFY THE WRONG SECTION WHICH HAS BEEN QUOTED IN THE CHALLAN AND IN ABSENCE OF THAT THE CREDIT HAS NOT BEEN GIVEN TO THE ASSESSEE. IT SEEMS TO US THAT ON CE THE CHALLAN IS DEPOSITED 5 ITA NO. 548/JP/2013 A.Y. 2008-09 ITO TDS VS. LIC OF INDIA, KOTPUTLI. WITH THE BANK, IT WOULD NOT BE POSSIBLE FOR ASSESSEE TO RETRIEVE THE SAME AND MAKE ANY CORRECTION. HOWEVER, AS FAR AS THE TDS RETUR N IS CONCERNED, IF THERE IS ANY MISTAKE, SAME CAN BE RECTIFIED BY FILING THE CO RRECTION STATEMENT. IT IS NOT UNDER DISPUTE THAT ASSESSEE HAS DEPOSITED THE TDS OF RS. 5,02,000/- UNDER ITS OWN TAN. IN THE LIGHT OF ABOVE DISCUSSION, WE HEREBY DIRECT THE REVENUE TO ALLOW THE DUE CREDIT OF SUCH TDS FOR RS. 5,02,000/- TO THE ASSESSEE AFTER VERIFICATION OF ORIGINAL CHALLAN. 6. IN THE RESULT, REVENUES APPEAL IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 8.09.2015 . SD/- SD/- VH-VKJ-EHUK VKJ-IH-RKSYKUH (T.R. MEENA) (R.P.TOLANI) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 8/9/ 2015 DAS/ VKNS'K DH IZFRFYFI VXZSFKR @ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ @ THE ITO TDS, ALWAR. 2. IZR;FKHZ @ THE RESPONDENT : LIC OF INDIA, KOTPUTLI. 3. VK;DJ VK;QDR @ CIT 4. VK;DJ VK;QDRVIHY @ THE CIT(A) 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ @ DR, ITAT, JAIPUR 6. XKMZ QKBZY @ GUARD FILE (ITA NO. 548/JP/2013) VKNS'KKUQLKJ @ BY ORDER, LGK;D IATHDKJ @ ASST. REGISTRAR 6 ITA NO. 548/JP/2013 A.Y. 2008-09 ITO TDS VS. LIC OF INDIA, KOTPUTLI.