Hanumanth Rao Pathuru, Hyderabad V. Asst. Commissioner of Income Tax, Circle-7(1), Hyderabad

ITA 628/Hyd/2020

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 7100 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-12-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Assessment Year: 2019-2020
• Appeal Filed On: 09-11-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: T. SUNIL GOUTAM
• Section: 43B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES “A” : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER AND SHRI S.S.GODARA, JUDICIAL MEMBER I.T.A. No.628/HYD/2020 Assessment Year: 2019-20 Mr.Hanumanth Rao Pathuru, HYDERABAD [PAN: ACJPP5725C] Vs ACIT, Circle-7(1), HYDERABAD (Appellant) (Respondent) For Assessee : Shri T.Rajendra Prasad, AR For Revenue : Shri T.Sunil Goutam, DR Date of Hearing : 01-12-2021 Date of Pronouncement : 02-12-2021 O R D E R PER S.S.GODARA, J.M. : This assessee’s appeal for AY.2019-20 arises from the CIT(A)-6, Hyderabad’s order dated 10-09-2020 passed in case No.11131 / 2019-20 / B3 / CIT(A)-6, involving proceedings u/s.143(1) of the Income Tax Act, 1961 [in short, ‘the Act’]. Heard both the parties. Case file perused. 2. It transpires at the outset that this assessee’s instant appeal suffers from one day delay stated to be attributable to the reason(s) beyond his control. No rebuttal has come from the departmental side. The impugned delay is condoned therefore. ITA No. 628/Hyd/2020 :- 2 -: 3. Coming to the assessee’s sole substantive issue raised herein of Section 36(1)(va) ESI/PF disallowance of Rs.2,61,344/- made in both the lower proceedings, the assessee’s and Revenue’s plea before us is that the same has been paid before the due date of filing Sec.139(1) return and after the due date prescribed in the corresponding statute(s); respectively. We notice in this factual backdrop that the legislature has not only 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, we hold that the impugned disallowance is not sustainable in view of all these latest developments. The impugned ESI/PF disallowance is deleted therefore. No other ground has been pressed before us. 4. This assessee’s appeal is allowed in above terms. Order pronounced in the open court on 2 n d December, 2021 Sd/- Sd/- ( A. MOHAN ALANKAMONY ) ( S.S. GODARA ) ACCOUNTANT MEMBER JUDICIAL MEMBER Hyderabad, Dated: 02-12-2021 TNMM ITA No. 628/Hyd/2020 :- 3 -: Copy to : 1.Mr.Hanumanth Rao Pathuru, S/o.Mr.Kistaiah Pathuru, 1-8-230 to 234, Chikkadpally, Bhaglingampally, Hyderabad. 2.ACIT, Circle-7(1), Hyderabad. 3.CIT(Appeals)-6, Hyderabad. 4.Pr.CIT-1, Hyderabad. 5.D.R. ITAT, Hyderabad. 6.Guard File.