AI Insights
The case involves an appeal by the revenue against the order of the Commissioner of Income Tax (Appeals) which had deleted an addition of Rs. 1,51,97,013 made by the DCIT, CPC, Bangalore. The addition was initially made on account of disallowance due to belated remittance of Employees' contribution to PF and ESI. The revenue challenged the deletion, citing a Supreme Court decision in M/s Checkmate Services Pvt. Ltd. vs. CIT. However, the assessee provided evidence that the payments were made within the statutory deadlines, leading the tribunal to restore the matter to the AO for verification of these payments.
Appeal Details
Counselvise Citation
[2023] 140 COUNSELVISE.COM (IT) 127229 (ITAT-KOLKATA)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
8 month(s) 9 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
30-07-2023
Appeal Filed By
Department
Order Result
PartlyAllowed
Bench Allotted
A
Next Hearing Date
22-03-2023
Assessment Year
2018-2019
Appeal Filed On
20-11-2022
Judgement Text
आयकर अपील य अ धकरण, कोलकाता पीठ ‘ए’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH: KOLKATA ी राजेश क ु मार, लेखा सद य एवं ी संजय शमा या यक सद य के सम [Before Shri Rajesh Kumar, Accountant Member & Shri Sonjoy Sarma, Judicial Member] I.T.A. No. 665/Kol/2022 Assessment Year : 2018-19 ACIT, Circle-49(1), Kolkata Vs. Webel Support Multipurpose Service Co-operative Society Limited (PAN: AAAAW 0552 G) Appellant / (अपीलाथ ) Respondent / ( !यथ ) Date of Hearing / स ु नवाई क$ त&थ 23.03.2023 Date of Pronouncement/ आदेश उ)घोषणा क$ त&थ .07.2023 For the Appellant/ नधा /रती क$ ओर से Shri Sumit Ghosh & Shri Souradeep Majumdar, A.R For the Respondent/ राज व क$ ओर से Smt. Ranu Biswas, Addl. CITDR ORDER / आदेश Per Shri Rajesh Kumar, AM: This is the appeal preferred by the revenue against the order of the Ld. Commissioner of Income Tax (Appeals)- NFAC, Delhi [hereinafter referred to as ‘Ld. CIT(A)’] dated 29.03.2022 for the assessment year 2018-19. 2. The only issue raised by the revenue is against the deletion of addition of Rs. 1,51,97,013/- by the Ld. CIT(A) as made by the DCIT, CPC, Bangalore on account of disallowance on the account of belated remittance of Employees’ contribution to PF and ESI. 2 I.T.A. No.665/Kol/2022 Assessment Year2018-19 Webel Support Multipurpose Service Co-operative Society Ltd. 3. At the outset, it was brought to our notice that though the issue is covered against the order of Hon’ble Supreme Court in the case of M/s Checkmate Services Pvt. Ltd. vs. CIT in (2022) 143 taxmann.com 178 (SC) dated 12.10.2022 However, the Ld. A.R placed before the Bench a statement showing the payments were made well within the time as provided under the relevant Act and therefore the Ld. Counsel for the assessee prayed that the disallowance may be restricted only to the amounts which were paid beyond the due date under respective Act. The Ld. A.R placed before us the statement showing as PF and ESI along with challans and submitted that the payments which were made by the assessee on or before due date may kindly be allowed. 4. The Ld. D.R on the other hand prayed before the Bench the issue may be restored to the file of the AO so that necessary verification may be done of these challans. Accordingly we restore the issue to the file of the AO with the direction to verify the payments made by the assessee in respect of PF & ESI. Needless to say, if the payments are made within the due date under the respective Act, the same are to be allowed. The assessee is also directed to co-operate in the proceedings of filing necessary challans before the AO. Accordingly the appeal of the assessee is allowed for statistical purposes. 5. In the result, appeal of the revenue is partly allowed. Order is pronounced in the open court on 31 st July, 2023 Sd/- Sd/- (Sonjoy Sarma /संजय शमा ) (Rajesh Kumar/राजेश क ु मार) Judicial Member/ या यक सद य Accountant Member/लेखा सद य Dated: 31 st July, 2023 SB, Sr. PS 3 I.T.A. No.665/Kol/2022 Assessment Year2018-19 Webel Support Multipurpose Service Co-operative Society Ltd. Copy of the order forwarded to: 1. Appellant- ACIT, Circle-49(1), Kolkata 2. Respondent – Webel Support Multipurpose Service Co-operative Society Limited, GP-334, SDF Building, Sech Bhavan Salt Lake, Sector-V, Kolkata- 700091 3. Ld. CIT(A)- NFAC, Delhi 4. Pr. CIT- , Kolkata 5. DR, Kolkata Benches, Kolkata (sent through e-mail) True Copy By Order Assistant Registrar ITAT, Kolkata Benches, Kolkata
