INDIA MOTOR PARTS AND ACCESSORIES LIMITED , CHENNAI V. CIT(A) , NFAC , DELHI, DELHI

ITA 943/CHNY/2022

AI Insights

The case involves India Motor Parts and Accessories Ltd., which appealed against the computation of interest under section 234A for the late filing of their income tax return for the assessment year 2018-19. The return was filed on 26-10-2018, and although it was accepted in the scrutiny assessment order dated 31-12-2020, the interest for late filing was computed at Rs.12.93 Lacs. The CIT(A) upheld this computation, noting that despite an extension for filing the return until 31-10-2018, the assessee was still liable for interest under section 234A as per the CBDT order dated 08-10-2018. The Tribunal found that the interest for one month, calculated at 1% on the self-assessment tax payable, amounted to Rs.1.13 Lacs, indicating an error in the initial computation.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134067 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-01-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: C
• Next Hearing Date: 11-01-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 08-11-2022
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: S. RAMASUBRAMANIAN EVP OF
• Keywords: TDS
• Section: 143(3)

Judgement Text

आयकर अपीलीय अिधकरण ’सी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI माननीय +ी वी. द ु गा1 राव, ाियक सद2 एवं माननीय +ी मनोज कु मार अ7वाल ,लेखा सद2 के सम9। BEFORE HON’BLE SHRI V. DURGA RAO, JM AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकरअपील सं./ IT A No .943/C hn y/2022 ( िनधा1रण वष1 / As s es sm ent Year : 2018-19) India Motor Parts and Accessories Ltd. 46, Sundaram Towers, 3 rd Floor, Whitesl Road, Royapettah, Chennai – 600 014. बनाम / V s. CIT(A)/NFAC Delhi. थायीलेखासं./जीआइआरसं./PAN/GIR No. AAACI-0 9 3 1 -P (अपीलाथ /Appellant) : ("#थ / Respondent) अपीलाथ कीओरसे/ Appellant by : Shri S. Ramasubramanian (EVP of assessee company) "#थ कीओरसे/Respondent by : Shri P. Sajit Kumar - (JCIT) – Ld. DR सुनवाईकीतारीख/Date of Hearing : 12-01-2023 घोषणाकीतारीख /Date of Pronouncement : 12-01-2023 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member): 1. The sole grievance of the assessee in the captioned appeal is incorrect computation of interest u/s 234A. From the facts, it emerges that the assessee filed return of income on 26-10-2018 which was substantially accepted in scrutiny assessment order u/s 143(3) passed on 31-12-2020. However, in the computation sheet, interest u/s 234A has been computed for Rs.12.93 Lacs for late filing of return of income. The Ld. CIT(A) confirmed the same on the ground that though the date ITA No.943/Chny/2022 2 of filing of return of income was extended up-to 31-10-2018 vide CBDT order dated 08.10.2018, however, it was clearly mentioned that the assessee would be liable to pay interest u/s 234A. Aggrieved the assessee is in further appeal before us. 2. From the computations placed in ground of appeal, it appears that Income Tax payable by the assessee amount to Rs.1333.89 Lacs which has been satisfied by advance tax for Rs.1210 Lacs and TDS for Rs.10.83 Lacs. The balance self-assessment tax payable by the assessee was Rs.113.05 Lacs which would be subjected to computation of interest u/s 234A. The interest on the same for one month for late filing of return of income @1% would come to Rs.1.13 Lacs. Therefore, prima-facie, interest has wrongly been computed in the computation sheet. Therefore, we direct Ld. AO to verify the above figures and re- compute correct interest u/s 234A in accordance with law. 3. The appeal stands partly allowed for statistical purposes. Order pronounced on 12 th January, 2023. Sd/- (V. DURGA RAO) ाियक सद2 /JUDICIAL MEMBER Sd/- (MANOJ KUMAR AGGARWAL) लेखा सद2 / ACCOUNTANT MEMBER चे4ई / Chennai; िदनांक / Dated : 12-01-2023 EDN/- आदेश की Uितिलिप अ7ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant 2. यथ /Respondent 3. आयकर आयु (अपील)/CIT(A) 4. आयकर आयु /CIT 5. िवभागीय ितिनिध/DR 6. गाड फाईल/GF