M/S. SHREE MAHALAXMI KRUPA SERVICES PVT. LTD., MUMBAI V. NFAC, DELHI, DELHI

MA 286/MUM/2023

AI Insights

The case involves M/s.Shree Mahalaxmi Krupa Services Pvt. Ltd., the appellant, who filed a Miscellaneous Application under section 254(2) of the Income Tax Act, 1961, seeking to recall an earlier Tribunal order that affirmed a disallowance of Rs.2,54,85,022. This disallowance was initially made by the CIT(A) and pertained to contributions made to the Provident Fund (PF). The appellant argued that a portion of this disallowance included amounts that were actually deposited within the prescribed time limits under the Act. The Tribunal, upon reviewing the evidence and the submissions, found that there was indeed a mistake apparent on record and thus decided to recall the earlier order for a fresh hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 299410 (ITAT-MUMBAI)
• Duration Of Justice: 5 month(s) 24 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 26-09-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 20-07-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 02-04-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRAKASH D. CHOUGHULE

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL “G” BENCH, MUMBAI BEFORE SHRI KULDIP SINGH, JUDICIAL MEMBER AND SHRI GAGAN GOYAL, ACCOUNTANT MEMBER Miscellaneous Application No.286/Mum/2023 (in ITA No.1682/Mum/2022 Assessment Year: 2018-19 M/s.Shree Mahalaxmi- Krupa Services Pvt. Ltd., Shop No.12, National Plaza C.H.S.Ltd., Plot No.144, Takka Panvel, Raigarh, Mumbai-410 206. v. NFAC, Delhi. [PAN: AAUCS 7858 K] (Appellant) (Respondent) Appellant by : Shri Fenil Bhat, AR Respondent by : Shri Prakash D. Choughule, Sr.AR Date of Hearing : 21.07.2023 Date of Pronouncement : 27.09.2023 O R D E R PER KULDIP SINGH, JM: The appellant, M/s.Shree Mahalaxmi Krupa Services Pvt Ltd., (hereinafter referred to as ‘the assessee’) by moving an application u/s.254(2) of the Income Tax Act, 1961 (in short “the Act”) sought to recall the order dated 19.01.2023 passed by the Tribunal in ITA No.1682/Mum/2022 in the case of M/s.Shree Mahalaxmi Krupa Services Pvt Ltd., for AY 2018-19, on the grounds, inter alia, that the Tribunal in Para Nos.8 & 9 of the order (supra) affirmed the order passed by the ld.CIT(A) in making disallowance of MA No.286/Mum/2023 (in ITA No.1682/Mum/2022) :: 2 :: Rs.2,54,85,022/- without looking into the fact that the disallowance of Rs.2,54,85,022/- is bifurcated into three amounts i.e. (i) employee’s contribution of Rs.1,41,69,962/- paid in time “(ii) an amount of Rs.72,80,400/- paid after due date but before the date of filing of the Income Tax Returns; and that amount of Rs.40,34,660/- belonging to the employer contribution also paid before the due date of filing of the Income Tax Returns that out of disallowance of Rs.2,54,85,022/-, only amount of Rs.72,80,400/- is required to be disallowed u/s.36(1)(va) of the Act. 2. The ld.DR for the Revenue opposed the Miscellaneous Application filed by the assessee on the ground that the order has been passed on the basis of evidence brought on record by the assessee, hence, application is liable to be dismissed. 3. We have heard the Ld. Authorized Representatives of the parties to the appeal, perused the orders passed by the Ld. Lower Revenue Authorities and documents available on record in the light of the facts and circumstances of the case and law applicable thereto. 4. keeping in view the fact that prima facie out of total disallowance of Rs.2,54,85,022/-, amount of Rs.72,80,400/- prima facie is proved to be deposited by the assessee beyond the due date prescribed under the respective Act on account of employees’ contribution to PF and that amount of Rs.1,41,69,962/- is deposited within the period prescribed under the Act. From the statement of contribution of PF available at Page Nos.148-150 of the Paper Book, we find that there is a mistake apparent on record, hence, MA No.286/Mum/2023 (in ITA No.1682/Mum/2022) :: 3 :: ordered to be rectified and order (supra) passed by the Tribunal is ordered to be recalled to be heard afresh. 5. Resultantly, Miscellaneous Application filed by the assessee is hereby allowed. Order pronounced on the 27 th day of September, 2023, in Mumbai. Sd/- (GAGAN GOYAL) ACCOUNTANT MEMBER Sd/- (KULDIP SINGH) JUDICIAL MEMBER Mumbai, Dated: 27 th September, 2023. TLN, Sr.PS (on Tour) Copy to: 1. The Appellant 2. The Respondent 3. The CIT 4. The DR, ITAT, Mumbai 5. Guard File // True Copy // By Order Dy./Asst. Registrar, ITAT, Mumbai