INCOME TAX OFFICER CIR 15(3) (2) , Mumbai V. M/S. SCANTECH LASER PVT. LTD, NAVI MUMBAI

MA 142/MUM/2023

AI Insights

The case involves the revenue's miscellaneous applications in ITA No. 1967 & 1968/MUM/2021 concerning the assessment years 2018-19 and 2019-20, where the Tribunal initially ruled that employees' contributions to PF and ESI, if remitted before the due date of filing the return of income under section 139(1), are deductible under section 43B. However, following a Supreme Court decision in Checkmate Services Pvt Ltd. Vs. CIT, which reversed this position, the revenue filed MA to recall the Tribunal's earlier order. The Tribunal, acknowledging the binding nature of the Supreme Court's decision, allowed the MA and recalled its previous order.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 302583 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 17 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 23-05-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 18-05-2023
• Assessment Year: 2019-2020
• Appeal Filed On: 06-02-2023
• Other Referred Cases: Kalpesh Synthetics Ltd Vs. DCIT, Checkmate Services Pvt Ltd. Vs. CIT
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 43B; 139(1); 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, “E”BENCH MUMBAI BEFORE SHRI PAVAN KUMAR GADALE, JUDICIALMEMBER& SHRI AMARJIT SINGH,ACCOUNTANT MEMBER M.A. No. 141&142/MUM/2023 (Arising out of ITA No. 1967&1968/MUM/2021) (A.Y.2018-19 & A.Y.2019-20) ACIT 15(3)(2), 483, 4 th Floor, Aaykar Bhavan, M.K.Road, Mumbai-400020. Vs. Scantech Laser Pvt Ltd, A/517,TTC Industrial Area, MIDC, Mahape, Navi Mumbai-400701. ᭭थायी लेखा सं./जीआइआर सं.PAN/GIR No. AAECS8022P (अपीलाथᱮ/Applicant) (ᮧ᭜यथᱮ/Respondent) Applicant by Mr.Dinesh.A.Chourasia.DR Respondent by Ms.Rupal Shah.AR सुनवाई कᳱ तारीख/Date of Hearing 19.05.2023 घोषणा कᳱ तारीख/Date of Pronouncement 24.05.2023 ORDER PER PAVAN KUMAR GADALE, JM: The revenue has filed the miscellaneous applications (MA) in ITA No. 1967 & 1968/MUM/2021 for the A.Y.2018-19 & A.Y. 2019-20 seeking recall of the Hon’ble Tribunal order dated 17.05.2022. 2 M.A. No. 141&142/MUM/2023 (A.Y.: 2018-19&2019-20) 2. At the time of hearing, the Ld.DR submitted that the Hon’ble Tribunal in ITA. No.1967&1968/Mum/2021 for A.Y 2018-19& A.Y.2019-20 placed reliance on the decision of the Coordinate Bench of the Honble Tribunal in the case of Kalpesh Synthetics Ltd Vs. DCIT in ITA No. 1785/Mum/2021 dated 27.04.2022 and held that the employees contribution to PF and ESI if remitted beyond the due date prescribed under respective Act but remitted / deposited before due date of filing of return of income u/s 139(1) of the Act would be eligible for deduction u/s 43B of the Act. Accordingly, the issue was decided in favour of the assessee. Presently the revenue has filed MA and the Ld. DR has drawn attention to the recent decision of the Hon’ble Supreme Court in the case of Checkmate Services Pvt Ltd. Vs. CIT 143 taxmann.com 178, wherein the same issue was decided in favour of the revenue. Contra the Ld. AR has raised objections for the recall of the order. We find, the law is very well settled that the subsequent decision of the Hon’ble Supreme Court would pave way for the rectification of the Honble Tribunal order u/s 254(2) of the Act. 3. We heard the rival submissions and perused the material on record. We find that there are merits in the MA filed by the revenue and we recall the order of the 3 M.A. No. 141&142/MUM/2023 (A.Y.: 2018-19&2019-20) Honble Tribunal in ITA No. 1967&1968/Mum/2021 dated 17.05.2022 and direct the registry to post the appeal in regular course and inform both the parties. 4. In the result, the MA filed by the revenue is allowed. Order pronounced in the open court on 24.05.2023. Sd/- Sd/- (AMARJIT SINGH) (PAVAN KUMAR GADALE) ACCOUNTANT MEMBER JUDICIAL MEMBER Mumbai, Dated: 24/05/2023 KRK Copy of the Order forwarded to: 1. The Appellant, 2. The Respondent 3. The CIT(A)- 4. CIT 5. DR, ITAT, Mumbai 6. Guard file. //True Copy// BY ORDER, (Dy./Asstt.Registrar)ITAT, Mumbai