ASPEN INFRASTRUCTURE LIMITED (FORMERLY SYNEFRA ENGINEERING & CONST. LTD),AHMEDABAD vs. DCIT, CIRCLE-4(1) (1), AHMEDABAD

Though the assessee has taken four grounds of appeal, but its substantial grievance is that the ld.CIT(A) has erred in confirming the disallowance of Employees Contribution towards PF amounting to Rs.23,99,459/- which was disallowed by the AO under section 36(1)(va) r.w.s. 2(24)(x) of the Income Tax Act, 1961.

With the assistance of the ld.representatives, we have gone through the record carefully. It merges out from the record that the assessee has filed its return of income on 28.9.2013 declaring total income at Rs.NIL after setting off brought forward business loss. On scrutiny of the accounts, it revealed to the AO that the assessee has debited a sum of Rs.23,99,459/- in accounts and claimed payment of Employees Contribution towards PF and ESI. The ld.AO has reproduced accounts of such contribution made by the employees showing actual payment, due date of payment, actual date of payment. Such details are reproduced in para 4.1 of the assessment order.

We have perused these details. It emerges out that the contribution for the month of June, 2012 was actually paid in the month of February, 2013. Some defaults are there with regard to other months. The AO has specifically held that these were not paid within due date provided in the PF and ESI Acts, therefore, he disallowed it. On appeal, the ld.CIT(A) has confirmed the disallowance by following decision of Hon’ble jurisdictional High Court in the case of CIT Vs. Gujarat State Road Transport Corporation Ltd., 366 ITR 170. The ld.counsel for the assessee contended before us that the issue be remitted to the AO for verification of the payments. He made reference to the decision of ITAT in the case of Suzlon Energy Ltd. Vs. DCIT, Ahmedabad.

On consideration of the above facts, we find that the details of payments were already noticed by the AO in para-4.1 and we have gone through these details. The payments have not been made within due date. Therefore, no purpose will be served for remitting this issue to the

In the result, appeal of the assessee is dismissed.