M/s Trident Alco-Chem Ltd., Ludhiana V. ACIT, Ludhiana

ITA 915/CHANDI/2009

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 5384 (ITAT-CHANDIGARH)
• Duration Of Justice: 4 year(s) 4 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-01-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2002-2003
• Appeal Filed On: 03-09-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANJIT SINGH
• Section: 43B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH B, CHANDIGARH BEFORE SHRI T.R. SOOD, ACCOUNTANT MEMBER AND MS. SUSHMA CHOWLA, JUDICIAL MEMBER ITA NO. 915/CHD/2009 ASSESSMENT YEAR : 2002-03 TRIDENT ALCO-CHEM LTD VS. A.C.I.T. CIRCLE I (NOW IOL CHEMICALS & LUDHIANA PHARMACEUTICALS LTD) 85-INDUSTRIAL AREA A LUDHIANA (APPELLANT) (RESPONDENT) APPELLANT BY SHRI ASHWANI KUMAR RESPONDENT BY SHRI MANJIT SINGH DATE OF HEARING 15.1.2014 DATE OF PRONOUNCEMENT 20 .1.2014 O R D E R PER T.R.SOOD, A.M THIS APPEAL IS DIRECTED AGAINST THE ORDER DATED 22. 7.2009 OF THE LD CIT(A)-II. LUDHIANA. 2. IN THIS APPEAL THE ORDER IN ITA NO. 915/CHD/2009 DATED 30.10.2009 WAS RECALLED BY THE TRIBUNAL THROUGH MIS C. APPLICATION NO. 43/CHD/2012 DATED 13.2.2013 ONLY IN RESPECT OF GROUND NO. 1 WHICH READS AS UNDER: THAT ORDER U/S 250(6) OF INCOME -TAX ACT, 1961 PAS SED BY THE LD. CIT(A)-II, LUDHIANA IS AGAINST LAW AND FACTS ON THE FILE IN AS MUCH AS HE WAS NOT JUSTIFIED TO ARBITRARY UPHOLD THE ACT ION OF THE ASSESSING OFFICER IN DISALLOWING A SUM OF RS. 3,79, 961/- ON ACCOUNT OF PAYMENT OF EPF AND ADMINISTRATIVE EXPENS ES. 3 AFTER HEARING BOTH THE PARTIES WE FIND THAT DURIN G ASSESSMENT PROCEEDINGS THE ASSESSING OFFICER NOTICE D THAT THE PAYMENT TOWARDS PROVIDENT FUND HAS BEEN MADE LATE A S PER FOLLOWING CHART: 2 PAYMENTS MADE BY THE ASSESSEE TO EMPLOYEE PROVIDENT FUND/EMPLOYER PROVIDENT FUND AND ADMINISTRATIVE CHA RGES PAID AFTER THE DUE DATE: MONTH DUE DATE INCLUDING GRACE PERIOD DATE OF PAYMENT AMOUNT (RS) APRIL 2001 20.5.2001 21.5.2001 1,92,036 JUNE 2001 20.7.2001 18.10.2001 1,584 JULY 2001 20.8.2001 18.10.2001 2,304 AUGUST 2001 20.9.2001 18.10.2001 20.12.2001 1,008 1,392 SEPT 2001 20.10.2001 20.12.2001 2,484 OCT 2001 20.11.2001 20.12.2001 8.3.2002 756 1,632 NOV 2001 20.12.2001 19.1.2001 2,656 JAN 2002 20.2.2002 8.3.2002 1,74,109 TOTAL 3,79,961 THEREFORE SAME WERE DISALLOWED. 4 ON APPEAL ACTION OF THE ASSESSING OFFICER WAS CON FIRMED. 5 BEFORE US. THE LD. COUNSEL FOR THE ASSESSEE SUBMI TTED THAT THIS ISSUE IS SQUARELY COVERED BY THE DECISION OF HON'BLE PUNJAB AND HARYANA HIGH COURT IN CASE OF CIT VS. R AI AGRO INDUSTRIES LTD. 334 ITR 122 (PH). 6 ON THE OTHER HAND, THE LD. D.R. FOR THE REVENUE R ELIED ON THE ORDER OF THE ASSESSING OFFICER. 7 AFTER CONSIDERING THE RIVAL SUBMISSIONS WE FIND T HAT HON'BLE PUNJAB AND HARYANA HIGH COURT IN CASE OF CI T VS. RAI AGRO INDUSTRIES LTD.(SUPRA) HAS HELD HELD, DISMISSING THE APPEAL, THAT THE TRIBUNAL WAS RIGHT IN ALLOWING THE CLAIM OF THE ASSESSEE IN RESPECT OF PA YMENTS MADE FOR ESI CONTRIBUTIONS AND IT COULD NOT BE DISALLOWE D U/S 43B OF THE ACT. FOLLOWING THE DECISION OF HON'BLE PUNJAB AND HARYAN A HIGH COURT THAT IF THE PAYMENT HAS BEEN MADE WITHIN THE DUE DATE OF FILING OF RETURN IN RESPECT OF PROVIDENT FUND D UES ETC. THEN 3 SAME HAS TO BE ALLOWED. RESPECTFULLY FOLLOWING THI S DECISION WE DECIDE THIS ISSUE IN FAVOUR OF THE ASSESSEE. 8. IN THE RESULT, GROUND NO. 1 OF THE ASSESSEES AP PEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 20.1.2014 SD/- SD/- (SUSHMA CHOWLA) (T.R. SOOD) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 20 .1.2014 SURESH COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT/THE C IT(A)/THE DR