FLORENTINE ESTATES OF INDIA LIMITED,NEW DELHI vs. INCOME TAX OFFICE , WARD 74(2), DELHI

This assessee’s appeal for Assessment Year 2016-17, arises against the CIT(A)-29, New Delhi’s in case No. CIT(A), Delhi-29/11053/2015-16 dated 09.12.2024, in proceedings u/s 201(1)/201(1A) of the Income Tax Act, 1961 (in short “the Act”).

Heard both the parties at length. Case file perused.

Suffice to say, the assessee’s sole substantive grievance raised in the instant appeal challenges both the learned lower authorities respective findings holding it as the assessee in default for not having deducted TDS on payment of external development charges payments made to M/s Haryana Urban

We notice in this precise factual backdrop that hon’ble jurisdictional high court recent decision in Puri Constructions (P) Ltd. Vs. Addl. CIT (2024) 159 taxmann.com 441 (Del.) has already settled the above sole issue against the assessee and in the department’s favour that such “EDC” payment indeed attract TDS deduction.

Faced with this situation, learned counsel submits that the above sole issue is still pending before the hon’ble Supreme Court of India. We are of the considered view that mere pendency such an issue before their lordships does not entitle the assessee to prolong the hearing as are the facts involved before us. We thus uphold both the learned lower authorities respective findings treating the assessee as the assessee in default in section 201(1) proceedings in very terms.