Vikas Aggarwal, New Delhi V. ITO WARD - 41(1), New Delhi

ITA 8648/DEL/2019

AI Insights

The case involves Vikas Aggarwal, the appellant, who contested the decision of the CIT(A)-14, New Delhi, regarding the non-credit of TDS for the Assessment Year 2014-15. The TDS amount of Rs.21,13,864 was deducted by the payer of the rent but was not deposited to the Government's credit. The primary legal issue was whether the assessee could be granted credit for TDS that was not deposited by the deductor. The Tribunal dismissed the appeal based on the fact that the TDS was not deposited, thus not entitling the assessee to the credit. However, considering the circumstances, the Tribunal invoked a CBDT circular to prevent any recovery actions against the assessee for the unpaid tax.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 121329 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 7 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-06-2023
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 11-06-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 04-11-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: V. B. AGGARWAL
• Keywords: TDS

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘H’, NEW DELHI BEFORE SH. SAKTIJIT DEY, JUDICIAL MEMBER AND SH. N. K. BILLAIYA, ACCOUNTANT MEMBER ITA No.8648/Del/2019 Assessment Year: 2014-15 Vikas Aggarwal 488, Sainik Vihar, Pitampura, New Delhi PAN No.AENPA7838P Vs ITO Ward- 41 (1) New Delhi (APPELLANT) (RESPONDENT) Appellant by Sh. V. B. Aggarwal, CA Sh. Tarun Kumar Pal, CA Respondent by Sh. Vivek Vardhan, Sr. DR Date of hearing: 12/06/2023 Date of Pronouncement: 12/06/2023 ORDER PER N. K. BILLAIYA, AM: This appeal by the assessee is preferred against the order of the CIT(A)-14, New Delhi dated 26.08.2019 pertaining to A.Y.2014-15. 2. The solitary grievance is that the CIT(A) erred in not giving credit of TDS of Rs.21,13,864/-. The entire quarrel can be understood from the following chart :- 2 3. There is no dispute that the payer of the rent have deducted tax at source amounting to Rs.21,13,864/-. It is also an undisputed fact that the said TDS amount has not been deposited to the credit of the Government and, therefore, the same was denied. 4. On such facts we cannot direct the AO to give the credit of TDS. The appeal of the assessee has to be dismissed. 5. However, in the interest of justice it would not be out of place to quote the following CBDT circular :- 3 6. In the light of the aforementioned CBDT circular, though we have dismissed the appeal of the assessee, yet we direct the AO not to take any recovery action for the outstanding tax liability keeping in mind the mandate of aforestated CBDT circular. With these directions the appeal is dismissed. 4 7. Decision announced in the open court on 12.06.2023. Sd/- Sd/- [SAKTIJIT DEY] [N.K. BILLAIYA] JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: .06.2023 *Neha* Copy forwarded to: 1. Appellant 2. Respondent 3. CITi 4. CIT(A) 5. DR Asst. Registrar ITAT, New Delhi