PRASAD POLYFAB,GANDHINAGAR V. INCOME TAX OFFICER, GANDHINAGAR

ITA 1365/AHD/2024

AI Insights

The case involves Prasad Polyfab, the appellant, contesting an exparte appellate order related to the Assessment Year 2021-22, concerning an intimation under section 143(1) of the Income Tax Act, 1961. The primary contention was regarding the wrongly added SGST Refund of Rs. 1,40,00,879. The second ground concerning PF and ESI contributions was dismissed based on the Supreme Court's decision in Checkmate Services Pvt. Ltd. Vs. CIT. The Tribunal found merit in the appellant's request to set aside the matter regarding the SGST Refund to the Assessing Officer for verification, as the subsidy was reported in subsequent years and taxed accordingly.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 312287 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2021-2022
• Other Referred Cases: Checkmate Services Pvt. Ltd. Vs. CIT [2022] 143 taxmann.com 278 (SC)
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: MISTAKE FILED; HONBLE SUPREME

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “D” BENCH Before: Shri T.R. Senthil Kumar, Judicial Member And Shri Makarand Vasant Mahadeokar, Accountant Member Prasad Polyfab Plot No. 1601, Phase-2, B/H Juni Khodiyar Hotel, Chhatral, GIDC, Kalol, Gandhinagar-382329 Gujarat PAN: AAUFP2961P (Appellant) Vs Income Tax Officer Gandinagar, Gandhinagar (Respondent) Assessee Represented: Shri S.N. Divatia, A.R. & Shri Samir Vora, A.R. Revenue Represented: Shri Prateek Sharma, Sr.D.R. Date of hearing : 01-05-2025 Date of pronouncement : 02-05-2025 आदेश/ORDER PER : T.R. SENTHIL KUMAR, JUDICIAL MEMBER:- This appeal is filed by the Assessee as against the exparte appellate order dated 03.10.2024 passed by the Additional Commissioner of Income Tax (Appeals)-3, Chennai arising out of the intimation passed under section 143(1) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) relating to the Assessment Year 2021-22. ITA No: 1365/Ahd/2024 Assessment Year: 2021-22 I.T.A No. 1365/Ahd/2024 A.Y. 2021-22 Page No Prasad Polyfab Vs. ITO 2 2. The registry has noted that there is a delay of 75 days in filing the above appeal. It is explained that the assessee by mistake filed an appeal before ITAT Chennai Bench which was dismissed on 12- 06-2024. Thereafter the present appeal was filed by the assessee on 12-07-2024. Hence there is no delay in filing the above appeal. 3. The Grounds of Appeal filed by the assessee are as follows: 1. Wrongly addition made by the Assessing Officer for SGST Refund of Rs. 1,40,00,879/- 2. PF and ESI Contribution Late Payment in certain cases Rs. 1,10,830/-. 4. Ld. Counsel for the assessee fairly submitted that second ground raised by the assessee is against the assessee by Hon’ble Supreme Court Judgment in the case of Checkmate Services Pvt. Ltd. Vs. CIT reported in [2022] 143 taxmann.com 278 (SC), hence ground no. 2 is dismissed. 5. Regarding Ground No. 1 is concerned, Ld. Counsel submitted that the subsidy was received by the assessee company during the subsequent years and offered to tax in the subsequent years. Therefore in the interest of justice, the matter may be setaside to the file of Assessing Officer for verification and also produced the Ledger account before us. 6. Ld. Sr. D.R. appearing for the Revenue has no serious objection in setting aside the matter back to the file of A.O. for verification of this subsidy income in the next assessment year. I.T.A No. 1365/Ahd/2024 A.Y. 2021-22 Page No Prasad Polyfab Vs. ITO 3 7. Recording the above submissions of both parties, the order passed by the Lower Authorities are here setaside with the direction to the Jurisdictional Assessing Officer to pass fresh assessment order by giving proper opportunity of hearing to the assessee. Needless to say, the assessee should file all necessary documents before Jurisdictional Assessing Officer for passing order on merits. 8. In the result, the appeal filed by the Assessee is allowed for statistical purpose. Order pronounced in the open court on 02-05-2025 Sd/- Sd/- (MAKARAND VASANT MAHADEOKAR) (T.R. SENTHIL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Ahmedabad : Dated 02/05/2025 आदेश कȧ ĤǓतͧलͪप अĒेͪषत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से, उप/सहायक पंजीकार आयकर अपीलȣय अͬधकरण, अहमदाबाद "