ADIT,CPC, BENGALURU V. M/S CAUVERY STONES IMPEX PVT. LTD., CHENNAI

MA 132/CHNY/2022

AI Insights

The case involves the Income Tax Officer, Corporate Ward-1(3), Chennai as the appellant and M/s. Cauvery Stone Impex Pvt. Ltd. as the respondent. The Revenue filed Miscellaneous Applications seeking rectification of the Tribunal's earlier order concerning the late payment of Employees' Contributions to PF/ESI by the assessee. The Tribunal had previously passed an order on 18.04.2022, which was challenged by the Revenue. The Tribunal heard the applications together with a bunch of similar cases and decided based on the lead order, which was influenced by the Supreme Court's decision in Checkmate Services P. Ltd. Vs CIT. The Tribunal found a mistake apparent from the record under section 254(2) and allowed the Revenue's applications, modifying the earlier order.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 133868 (ITAT-CHENNAI)
• Duration Of Justice: 9 month(s) 4 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 30-07-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 18-05-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 26-10-2022
• Other Referred Cases: Checkmate Services P. Ltd. Vs CIT (143 Taxmann.com 178; dated 12.10.2022), Electrical India (ITA No. 789/Chny/2022)
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 143(1); 254(2)

Judgement Text

आयकर अपीलीय अिधकरण ‘ए’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, CHENNAI माननीय -ी महावीर िसंह, उपा34 एवं माननीय -ी मनोज कु मार अ8वाल ,लेखा सद; के सम4। BEFORE HON’BLE SHRI MAHAVIR SINGH, VICE PRESIDENT AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM M. A. No.132/Chny/2022 [In ITA No.123/Chny/2022] (िनधाDरण वषD / Assessment Year: 2018-19) & M. A. No.128/Chny/2022 [In ITA No.124/Chny/2022] (िनधाDरण वषD / Assessment Year: 2019-20) Income Tax Officer Corporate Ward-1(3) Chennai – 600 034 बनाम/ V s . M/s. Cauvery Stone Impex Pvt. Ltd. 8, 2 nd Street, Ganapathy Colony Chennai – 600 083. थायीलेखासं. /जीआइआरसं. /P AN /G IR N o . AAC C C - 33 10 - J (अ पीलाथ /Appellant) : ( थ / Respondent) अपीलाथ कीओरसे/ Appellant by : Shri ARV Sreenivasan (Addl. CIT) – Ld. DR थ कीओरसे/Respondent by : Shri D. Palanivel (Advocate) – Ld. AR सुनवाईकीतारीख/ Date of Hearing : 19-05-2023 घोषणाकीतारीख / Date of Pronouncement : 31-07-2023 आदेश / O R D E R ::Manoj Kumar Aggarwal (Accountant Member) :: 1. By way of captioned Miscellaneous Applications, the Revenue seeks our indulgence in Tribunal order passed in captioned appeals on - 2 - 18.04.2022. The revenue has filed similar applications in bunch of appeals seeking restoration / rectification of order on identical grounds. All these applications were heard together and opportunity was given to learned authorized representatives of all the assessees to meet out the applications filed by the revenue. The captioned applications were also heard along with that bunch. It was admitted position that the adjudication in lead applications would apply to all the other similar applications filed by the revenue. The lead order has now been passed by the bench in MA Nos. 97/Chny/2022 & 11/Chny/2023 on 31.07.2023 wherein the applications of revenue has been allowed and the issue, on merits, has been decided against the assessee considering the decision of Hon’ble Supreme Court in the case of Checkmate Services P. Ltd. Vs CIT (143 Taxmann.com 178; dated 12.10.2022). After considering the rival submissions, the Bench held that there was mistake apparent from record in terms of section 254(2) and therefore, the Revenue’s applications were to be allowed. The issue, on merits was decided against the assessee. It was also held that such an adjustment could very well be made while processing return of income u/s 143(1) as per decision in Electrical India (ITA No. 789/Chny/2022). 2. Accordingly, accepting the present applications of the revenue, the captioned order stand modified and the impugned issue is decided against the assessee. The Ld. AO is directed to re-compute the income of the assessee in both the years by disallowing late payment of Employees’ Contribution to PF / ESI which have been deposited beyond due date as specified in respective welfare ESI / PF acts. The order of Tribunal stand modified accordingly. - 3 - 3. The applications stands allowed. Order pronounced on 31 st July, 2023. Sd/- Sd/- (MAHAVIR SINGH) (MANOJ KUMAR AGGARWAL) उपा-. / VICE PRESIDENT लेखा सद0 / ACCOUNTANT MEMBER चे2ई Chennai; िदनांक Dated : 31-07-2023 DS आदेश की Xितिलिप अ 8ेिषत / Copy of the Order forwarded to : 1. अपीलाथ / Appellant 2. थ / Respondent 3. आयकर आयु:/CIT 4. िवभागीय ितिनिध/DR 5. गाड? फाईल/GF