DY CTI (8)(2)(1), MUMBAI V. PRAGATI FASHIONS P. LTD., MUMBAI

MA 353/MUM/2023

AI Insights

The case involves the Deputy Commissioner of Income Tax (DCIT) as the applicant and Pragati Fashions Pvt. Ltd. as the respondent. The revenue filed a miscellaneous application seeking recall of a tribunal order that favored the assessee regarding the deduction of employees' contribution to PF under section 43B of the Income Tax Act. The original tribunal decision relied on previous tribunal decisions that allowed such deductions if the contributions were made before the due date of filing the return of income under section 139(1). The revenue's application was based on a Supreme Court decision but was dismissed due to being filed beyond the six-month limitation period prescribed under section 254(2) of the Act.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 302566 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 20 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 28-08-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 03-08-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 08-05-2023
• 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, “C” BENCH MUMBAI BEFORE SHRI OM PRAKASH KANT, ACCOUNTANT MEMBER & SHRI PAVAN KUMAR GADALE, JUDICIALMEMBER M.A. No. 353/MUM/2023 (Arising out of ITA No. 569/MUM/2021, A.Y.2018-19) DCIT, Circle – 8(2)(1) Room No. 624, 6 th Floor, Aayakar Bhavan, Mumbai -400020. Vs. Pragati Fashions P.Ltd., F.P No-455, Shree Sadguru Heights, Bhavani Shankar Road, Dadar (W), Mumbai- 400028. PAN/GIR No. AACCP1730H ( /Applicant) ( /Respondent) Applicant by Smt.Mahita Nair.DR Respondent by Shri. Girish Dave.AR स ु नव ई /Date of Hearing 04.08.2023 घोषण /Date of Pronouncement 29.08.2023 ORDER PER PAVAN KUMAR GADALE, JM: The revenue has filed the miscellaneous application (MA) in ITA No.353/MUM/2023 for the A.Y.2018-19 seeking recall of Hon’ble Tribunal order dated 21.02.2022. 2 M.A. No. 253/MUM/2023 (A.Y.: 2018-19) Pragathi Fashions Pvt Ltd.Mumbai 2. At the time of hearing, the Ld.DR submitted that the Hon’ble Tribunal in ITA. No.569/Mum/2021 for A.Y 2018-19 placed reliance on the decisions of the Honble Tribunal and held that the employees contribution to PF 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 relying on the decision of the Honble Supreme Court. Per Contra the Ld.AR relied on the judicial decisions and raised objections that the MA filed by the Revenue is beyond the time limit prescribed U/sec254(2) of the Act. 3. We find the Hon’ble Tribunal order is dated 21.02.2022 and was received by the Income Tax Department on 06.07.2022. Whereas the revenue has filed the miscellaneous application on 09.05.2023 which is beyond the period of limitation of six months u/s 254(2) of the Act. We considering the facts, circumstances, and material on record find that the revenue has filed the MA beyond the time limit prescribed under section 254(2) of the Act. Accordingly, we do not find merits in the present miscellaneous 3 M.A. No. 253/MUM/2023 (A.Y.: 2018-19) Pragathi Fashions Pvt Ltd.Mumbai application filed by the revenue on the aspects of limitation and is dismissed. 4. In the result, the miscellaneous application filed by the revenue is dismissed. Order pronounced in the open court on 29.08.2023. Sd/- Sd/- (OM PRAKASH KANT) (PAVAN KUMAR GADALE) ACCOUNTANT MEMBER JUDICIAL MEMBER Mumbai, Dated: 29/08/2023 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