MIRIFICAL CAREERS PVT. LTD.,COIMBATORE V. ITO, CORP. WARD-2, COIMBATORE

ITA 792/CHNY/2025

AI Insights

The case involves an appeal by Mirifical Careers Private Limited against the order of the Learned Commissioner of Income Tax (CIT(A), Addl/JCIT(A)-1, Delhi) for the assessment year 2021-22. The primary issue in the appeal was the non-condonation of delay by the CIT(A) in adjudicating the assessee's case. The assessee argued that the delay was due to communications being sent to an email address of a former employee. On merits, the assessee contested additions made under sections 143(1) and 43B of the Income Tax Act, which pertained to ESI, PF, and GST deductions. The Revenue supported the lower authorities' decisions, citing the new provisions under section 36(1)(va) and the Supreme Court's decision in Checkmate Services.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 633467 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-06-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2021-2022
• Other Referred Cases: Checkmate Services
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: ANITHA
• Assessee Lawyers: K. MUTHUKUMAR; C.A
• Keywords: Condonation of delay
• Section: 43B

Judgement Text

"आयकर अपीलीय अधिकरण, ’सी’ न्यायपीठ, चेन्नई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI श्री यस यस विश्वनेत्र रवि, न्यावयक सदस्य एवं श्री अविताभ शुक्ला, लेखा सदस्य क े समक्ष BEFORE SHRI SS VISWANETHRA RAVI, JUDICIAL MEMBER AND SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.792/Chny/2025 Assessment Years: 2021-22 Mirifical Careers Private Limited, 135/135A, Palanisamy Towers, Dharmaraj Layout, Sowripalayam Pirivu, Ramanathapuram, Coimbatore, Tamil Nadu-641 045. [PAN: AAMCM9499E] The Income Tax Officer, Corporate Ward-2, Coimbatore (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) अपीलार्थी की ओर से/ Assessee by : Shri K. Muthu Kumar, C.A, प्रत्यर्थी की ओर से /Revenue by : Ms.Anitha, Addl.CIT सुनवाई की तारीख/Date of Hearing : 03.06.2025 घोषणा की तारीख /Date of Pronouncement : 11.06.2025 आदेश / O R D E R PER AMITABH SHUKLA, A.M : This appeal is filed by the assessee against the order bearing DIN & Order No.ITBA / APL / S / 250 / 2024-25 / 1074120457(1) dated 06.03.2025 of the Learned Commissioner of Income Tax [herein after “CIT(A), Addl/JCIT(A)-1, Delhi for the assessment year 2021-22. The reference to the word “Act” in this order hereinafter shall mean the Income Tax Act, 1961 as amended from time to time. 2.0 The only issue raised by the appellant through its grounds of appeal, assailing the order of Ld.CIT(A) is regarding non-condonation of ITA No.792/Chny/2025 Page - 2 - of 3 the delay by the latter. Accordingly, request was made that the Ld.CIT(A) may be directed to condone the delay and do a fresh adjudication of the matter on merits. The Ld.Counsel for the assessee submitted that the communication by the Revenue were sent to an email ID of its former employee and hence it could not make adequate timely compliances. The Ld. Counsel submitted that on merits it has a strong case and that the addition u/s 143(1) of Rs.27,58,744/- under ESI and PF as well as of Rs.9,58,162/- on account of GST w.r.t provisions of section 43B is unwarranted. 3.0 Per contra, the Ld. DR placed reliance upon the order of lower authorities. It was argued that the new explanation-2 in section 36(1) (va) inserted by Finance Act 2021 has amended provisions of section 43B qua due dates prescribed therein. Thus, from 01.04.2021 any sum received as employee’s share in ESI and PF shall be admissible for deduction if deposited on or before the due date prescribed in the relevant statute. It was urged that decision of Hon’ble Apex Court in Checkmate Services would also apply in the present case. 4.0 We have heard rival submissions in the light of material available on records. As regards the delay occurred before the Ld. First Appellate Authority, we have noted that the delay has been attributable to the notices being sent to erstwhile account of the assessee. We have however noted that no worthwhile purpose is going to be served by ITA No.792/Chny/2025 Page - 3 - of 3 remitting the matter back to the Ld.CIT(A) for condonation of delay and taking a decision on merits. We have noted that the case of Revenue qua the additions made u/s 143(1)(a) are fully supported by the statutory provisions of the Act as well as the decision of Hon’ble Apex Court in the case of M/s.Checkmate Services dated 12.01.2022. Even if, the Ld.CIT(A) condones the delay and attempts fresh adjudication, he would not be in a position to take a different decision and give any relief to the assessee qua impugned disallowances u/s 43B. Accordingly, all the grounds of appeal raised by the appellant are dismissed. 5.0 In the result, the appeal of the assessee is dismissed. Order pronounced on 11th , June-2025 at Chennai. Sd/- (यस यस धवश्वनेत्र रधव) (SS VISWANETHRA RAVI) न्याधयक सदस्य / Judicial Member Sd/- (अधमताभ शुक्ला) (AMITABH SHUKLA) लेखा सदस्य /Accountant Member चेन्नई/Chennai, धदनांक/Dated: 11th , June-2025. KB/- आदेश की प्रतितिति अग्रेतिि/Copy to: 1. अिीिार्थी/Appellant 2. प्रत्यर्थी/Respondent 3. आयकर आयुक्त/CIT - Coimbatore 4. तिभागीय प्रतितिति/DR 5. गार्ड फाईि/GF "