DCIT, CHENNAI V. Accel IT Resources Ltd., CHENNAI

ITA 905/CHNY/2016

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 8384 (ITAT-CHENNAI)
• Duration Of Justice: 5 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-09-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 17-08-2016
• Assessment Year: 2011-2012
• Appeal Filed On: 07-04-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V NANDA KUMAR
• Section: 43B

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI . . . , . !'# ! ,% !& BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ./ ITA NOS. 904 & 905/MDS/2016 ( )( / ASSESSMENT YEARS : 2010-11 & 2011-12 DEPUTY COMMISSIONER OF INCOME-TAX, CORPORATE CIRCLE -1(1), CHENNAI 600 034. V. M/S.ACCEL IT RESOURCES LTD., (FORMERLY ACCEL ACADEMY LTD.) 177 S F I COMPLEX, VALLUVAR KOTTAM HIGH ROAD, NUNGAMBAKKAM, CHENNAI 600 034. PAN : AAGCA3027Q (+,/ APPELLANT) (-.+,/ RESPONDENT) +, / 0 / APPELLANT BY : SHRI V.NANDA KUMAR, JCIT -.+,/0 / RESPONDENT BY : NONE 1 /2% / DATE OF HEARING : 17.08.2016 3') /2% / DATE OF PRONOUNCEMENT : 23.09.2016 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: BOTH THE APPEALS OF THE REVENUE ARE DIRECTED AGAINS T THE RESPECTIVE ORDER OF CIT(A) -1, CHENNAI DATED 08.01. 2016 AND PERTAINS TO 2 I.T.A. NOS.904&905/MDS/2016 ASSESSMENT YEARS 2010-11 & 2011-12. SINCE COMMON IS SUE ARISES FOR CONSIDERATION IN BOTH THE APPEALS, WE HEARD THE SAM E TOGETHER AND DISPOSING OFF THE SAME BY THIS COMMON ORDER. 2. NO ONE APPEARED FOR THE ASSESSEE INSPITE OF SERV ICE OF NOTICE. THEREFORE, WE HEARD THE LEARNED REPRESENTATIVE FOR THE DEPARTMENT AND PROCEEDED TO DISPOSE OFF THE APPEAL ON MERIT. SHRI V.NANDA KUMAR, THE LEARNED REPRESENTATIVE FOR THE DEPARTMENT SUBMITTED THAT THE ONLY ISSUE ARISES FOR CONSIDERATION IS DISALLOWANCE OF EMPLOYE ES CONTRIBUTION TO ESI AND PROVIDENT FUND. ACCORDING TO THE LEARNED REPRES ENTATIVE FOR THE DEPARTMENT, THE EMPLOYEES CONTRIBUTION HAS TO BE C REDITED TO THE RESPECTIVE FUNDS BEFORE THE DUE DATE PROVIDED UNDER THE RELEVANT PROVISIONS OF THE ACT. IN THIS CASE, THE ASSESSEE H AS NOT CREDITED THE AMOUNT WITHIN THE DUE DATE SPECIFIED UNDER THE RELE VANT ACT. THEREFORE, THE ASSESSING OFFICER DISALLOWED A SUM OF RS.29,82, 013/- FOR THE ASSESSMENT YEAR 2010-11 AND RS.20,13,732/- FOR THE ASSESSMENT YEAR 2011-12. THEREFORE, THE CIT(A) IS NOT JUSTIFIED IN ALLOWING THE CLAIM OF THE ASSESSEE. 3. WE HAVE CONSIDERED THE SUBMISSIONS OF THE LEARNE D REPRESENTATIVE OF THE DEPARTMENT AND ALSO PERUSED T HE MATERIAL AVAILABLE ON RECORD. THE CIT(A) FOUND THAT THE PAYMENT MADE B EFORE THE DUE DATE FOR FILING OF THE RETURN OF INCOME HAS TO BE ALLOWE D UNDER SECTION 43B OF THE ACT. ACCORDINGLY, THE CIT(A) DIRECTED THE ASSES SING OFFICER TO VERIFY 3 I.T.A. NOS.904&905/MDS/2016 WHETHER THE REMITTANCES WERE MADE BEFORE FILING OF THE RETURN OF INCOME AND IF IT IS PAID, HE DIRECTED THAT ASSESSING OFFIC ER TO DELETE THE ADDITION. THIS TRIBUNAL IS OF THE CONSIDERED OPINION THAT IN VIEW OF PROVISO TO SECTION 43B, THE PAYMENT MADE BY THE ASSESSEE TOWAR DS EMPLOYERS AND EMPLOYEES CONTRIBUTION FOR ESI & PROVIDENT FUND HAS TO BE ALLOWED IF THE SAME IS PAID BEFORE THE DUE DATE FOR FILING OF THE RETURN OF INCOME UNDER SECTION 139(1) OF THE ACT. THEREFORE, THE CIT HAS R IGHTLY DIRECTED THE ASSESSING OFFICER TO VERIFY THE EXACT DATE OF PAYME NT AND IF IT IS PAID WITHIN THE DUE DATE FOR FILING OF THE RETURN OF INCOME UND ER SECTION 139(1) TO ALLOW THE SAME. ACCORDINGLY, WE DO NOT FIND ANY REA SON TO INTERFERE WITH THE ORDERS OF THE LOWER AUTHORITIES AND THE SAME IS CONFIRMED. 4. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE S TANDS DISMISSED. ORDER PRONOUNCED ON 23 RD SEPTEMBER, 2016 AT CHENNAI. SD/- SD/- (. !'# ! ) ( . . . ) (A. MOHAN ALANKAMONY) (N.R.S. GANESAN) % / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 5 /DATED, THE 23 RD SEPTEMBER, 2016. SP. 4 I.T.A. NOS.904&905/MDS/2016 / -267 87)2 /COPY TO: 1. +, /APPELLANT 2. -.+, /RESPONDENT 3. 1 92 () /CIT(A) 4. 1 92 /CIT, 5. 7: -2 /DR 6. ;( < /GF.