Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, CUTTACK BENCH, CUTTACK
Before: SHRI CHANDRA MOHAN GARG, JM & SHRI L.P. SAHU, AM
आयकर अपीऱीय अधिकरण, कटक न्यायपीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH, CUTTACK श्री चन्द्र मोहन गगग, न्द्याययक सदस्य एवं श्री एऱ.ऩी.साहु, ऱेखा सदस्य के समऺ । BEFORE SHRI CHANDRA MOHAN GARG, JM & SHRI L.P. SAHU, AM आयकर अऩीऱ सं./ITA No.04/CTK/2018 (नििाारण वषा / Assessment Year :2012-2013) Arun Kumar Agrawal, Vs. ITO(TDS) Rourkela Prop: M/s Tilak Trading Co., Main Road, Sundargarh TAN No. : BBNT 01032 D (अऩीऱाथी /Appellant) (प्रत्यथी / Respondent) ..
यनधागररती की ओर से /Assessee by : Shri Damodar Pati, Advocate राजस्व की ओर से /Revenue by : Shri Subhendu Dutta, DR सुनवाई की तारीख / Date of Hearing : 12/09/2019 घोषणा की तारीख/Date of Pronouncement : 24/09/2019 आदेश / O R D E R Per L.P.Sahu, AM: This appeal has been filed by the assessee against the order of Commissioner of Income Tax (Appeals), Sambalpur, dated 05.09.2017 for the assessment year 2012-2013. 2. As per the office note, there is a delay of 22 days in filing the present appeal. In this regard, the assessee has filed an application for condonation of delay, to which ld. DR has no objection. We have gone through the application filed by the assessee and found that there is a reasonable cause for condonation of delay in filing the present appeal. Accordingly, we condone the delay and appeal of the assessee is heard finally.
2 ITA No.04/CTK/2018 3. The assessee has raised the following grounds of appeal :-
That the order passed by the Ld. below Forum suffers the vice of illegality and arbitrariness. 2. That the Ld. below Forum committed manifest error in law and in facts in not accepting the forms but demanding TCS on the entire amount of such sales turnover which is illegal and arbitrary. 3. That by virtue of an amendment coal was incorporated for collection of TCS u/s. 206C of the I.T.Act. The Appellant has sold goods to the manufacture who are authorized to make such purchases and since it is a new levy, the appellant should not have been saddled with tax liability. 4. That the levy of penalty if illegal and arbitrary. 5. That the other grounds, if any, shall be urged at the time of hearing.
Brief facts of the case are that the assessee is an individual
engaged in the business of trading of coal in the name and style of M/s
Tilak Trading Co. A TDS inspection was conducted in the business
premises of the assessee located at Main Road, Sundargarh on
18.02.2013 to verify the compliance in respect of Chapter XVIB &
XVIIBB of the Act. The ITO(TDS) held the assessee liable for TCS for an
amount of Rs.4,69,462/- u/s.206C(6) of the Act and further interest of
Rs.16,028/- u/s.206C(7) of the Act totaling to Rs.4,85,490/-. The
assessee preferred appeal before the CIT(A), however, the CIT(A)
dismissed the appeal of the assessee. Now, the assessee is in further
appeal before the CIT(A).
Ld. AR before us submitted that by virtue of an amendment coal
was incorporated for collection of TCS u/s. 206C of the I.T.Act and the
3 ITA No.04/CTK/2018 assessee has sold goods to the manufacture, who are authorized to
make such purchases and since it is a new levy, the assessee should not
have been saddled with tax liability. Therefore, ld. AR prayed that the
appeal of the assessee may kindly be allowed. To support his
contentions, ld. AR relied on the order of coordinate bench of the
Tribunal in case of M/s Tarini Minerals (P) Ltd., in ITA
No.476/CTK/2013, order dated26.05.2015.
On the other hand, ld. DR relied on the orders of authorities
below.
After hearing both the sides and perusing the entire material on
record, we find that the AO raised demand of Rs.4,64,475/-
u/s.206C(6) and Rs.16,208/- by way of interest u/s.206C(7) of the Act.
The CIT(A) observed that the assessee has obtained 27C forms from
certain buyers which cannot be considered to have been filed as per the
provisions of law. We have carefully gone through the findings
recorded by the CIT(A) in this regard and it is not found from the order
of CIT(A) that the assessee has obtained form 27C from all buyers
which has also not been submitted to the concerned CIT(A) within the
stipulated date. Considering the order of the coordinate bench of the
Tribunal in case of M/s Tarini Minerals (P) Ltd. (supra) as cited by the
ld. AR and the factual matrix of the present case, we remit the matter to
the file of AO for the verification as to whether the Form 27C has been
4 ITA No.04/CTK/2018 obtained by the assessee from all the buyers or not. Needless to say, the assessee shall be given reasonable opportunity of hearing. The assessee is directed to cooperate the AO for early disposal of the case. Accordingly, the grounds of appeal of the assessee are allowed for statistical purposes. 8. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 24/09/2019. Sd/- Sd/- (C.M.GARG) (L.P.SAHU) न्यानयक सदस्य / JUDICIAL MEMBER ऱेखा सदस्य / ACCOUNTANT MEMBER कटक Cuttack; ददनांक Dated 24/09/2019 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनिलऱपप अग्रेपषि/Copy of the Order forwarded to : अऩीऱाथी / The Appellant- . 1. Arun Kumar Agrawal, Prop: M/s Tilak Trading Co., Main Road, Sundargarh प्रत्यथी / The Respondent- 2. ITO(TDS) Rourkela आयकर आयुक्त(अऩीऱ) / The CIT(A), 3. आयकर आयुक्त / CIT 4. ववभागीय प्रयतयनधध, आयकर अऩीऱीय अधधकरण, कटक / DR, ITAT, Cuttack 5. गार्ग पाईऱ / Guard file. 6. आदेशािुसार/ BY ORDER, सत्यावऩत प्रयत //True Copy// (Senior Private Secretary) आयकर अपीऱीय अधिकरण, कटक / ITAT, Cuttack