DY.CIT CPC, BANGALORE V. SHRINIWAS MISHRA, MUMBAI

MA 8/MUM/2023

AI Insights

The case revolves around the Income Tax Department's appeal against a Tribunal decision that allowed deductions for employees' contributions to PF and ESI, which were remitted after the due date but before the filing of the income tax return. Initially, the Tribunal had relied on a coordinate bench decision that supported the assessee's position. However, following a Supreme Court ruling that reversed this position, the revenue filed a miscellaneous application seeking to recall the Tribunal's earlier order. The Tribunal, acknowledging the binding nature of the Supreme Court's decision, allowed the recall and directed a re-examination of the case.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 302587 (ITAT-MUMBAI)
• Duration Of Justice: 2 month(s) 22 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 26-03-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 16-03-2023
• Assessment Year: misc
• Appeal Filed On: 04-01-2023
• 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, “SMC” BENCH MUMBAI BEFORE SHRI M BALAGANESH, ACCOUNTANT MEMBER & SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER M.A. No. 08/MUM/2023 (Arising out of ITA No. 2336/MUM/2021, A.Y.2018-19) ITO 11(1)(1) Room No. 201, 2 nd Floor, Aayakar Bhavan, MK Road, Mumbai- 400020. Vs. Shri Shriniwas Mishra C 1203 Purva Venezia Yelahanka New Town, Bangalore North, Karnataka – 560064 लेख सं./ज आइआर सं.PAN/GIR No. AGIPM2309L ( ल /Applicant) ( /Respondent) Assessee by Mr. Nitesh Thakkar.AR Revenue by Ms. Richa Gulati.DR स ु नव ई र ख/Date of Hearing 17.03.2023 घोषण र ख/Date of Pronouncement 17.03.2023 ORDER PER PAVAN KUMAR GADALE, JM: The revenue has filed the miscellaneous application (MA) in ITA No. 2336/MUM/2021 for the A.Y.2018-19 seeking recall of the Hon’ble Tribunal order dated 26.05.2022. 2 M.A. No. 08/MUM/2023 (A.Y.: 2018-19) (Shri Shriniwas Mishra) 2. At the time of hearing, the Ld.DR submitted that the Hon’ble Tribunal in ITA. No. 2336/Mum/2021 for A.Y 2018-19 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 and the Ld.AR relied on the order of the Honble Tribunal. 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 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 Honble 3 M.A. No. 08/MUM/2023 (A.Y.: 2018-19) (Shri Shriniwas Mishra) Tribunal in ITA No. 2336/Mum/2021 dated 26.05.2022 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 17.03.2023. Sd/- Sd/- (M BALAGANESH) (PAVAN KUMAR GADALE) ACCOUNTANT MEMBER JUDICIAL MEMBER Mumbai, Dated: 17/03/2023 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