DECO MICA LIMITED vs. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE - 1(1)(1)

This appeal is at the instance of a assessee and is directed against the order passed by the Income Tax Appellate Tribunal, ‘B’ Bench, Ahmedabad dated 19/04/2021 in the ITA No.2198/Ahd/2018 for the A.Y. 2015-16. 2. The appellant – assessee has proposed the following substantial questions of law for the consideration of this Court:- (i) Whether in the facts and circumstances of the case, the Income-tax Appellate Tribunal was right in law in confirming the disallowance of Rs.17,77,538/- under Section 36(1)(va) read with Section 2(24)(x) of the Income Tax Act, 1961? (ii) Whether in the facts and circumstances of the case, the Income-tax Appellate Tribunal was right in law in not appreciating that the due date of payment of employers’ contribution into the Government Treasury as contemplated under the provisions of Employees Provident Funds & Miscellaneous Provisions Act, 1952 and Employees State Insurance Act, 1948 should be reckoned from the date of actual payment of salary and not its accrual? C/TAXAP/302/2021 ORDER DATED: 07/01/2022 (iii) Whether in the facts and circumstances of the case, the Income-tax Appellate Tribunal was right in law in not appreciating that the amounts are allowable under Section 36(1) (va) read with section 43B of the Act, having been deposited before the due date of filing the return of income under Section 139(1) of the Act?

We have heard Mr. Tushar Himani, the learned senior counsel assisted by Ms. Vaibhavi Parikh, the learned counsel appearing for the appellant – assess referred to above are no longer res-integra in view of the main judgment of this High Court in case of Commissioner of Income-tax Vs. Gujarat State Road Transport Corporation Limited, reported in 366 ITR 170 [Gujarat].

Mr. Himani, the learned senior counsel very fairly submitted that the issues on hand as such are squarely by the above referred decision of this High Court. However, he pointed out that the appeal against the judgment of the High Court before the Supreme Court is pending. He pointed out that the leave has been granted and appeal has been admitted.

We dismiss this appeal at this stage. However, in the event, if the Supreme Court reverses the judgment in the G.S.R.T.C. [Supra], it would be open for the appellant herein to revive this appeal by filing an application for such purpose within three months from the date of the judgment. The appeal stands disposed of accordingly. (J. B. PARDIWALA, J) (NISHA M. THAKORE,J) A. B. VAGHELA