Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, “B” BENCH, PUNE
Before: SHRI INTURI RAMA RAO & SHRI S.S. VISWANETHRA RAVI
आदेश / ORDER
PER S.S. VISWANETHRA RAVI, JM :
This appeal by the Revenue against the order dated 13-10-2021 passed by the National Faceless Appeal Centre, Delhi (‘NFAC’) for assessment year 2018-19.
The Revenue raised two grounds of appeal amongst which the only issue emanates for our consideration is as to whether the CIT(A), NFAC, Delhi justified in deleting the addition of Rs.1,94,18,282/- on account of delayed payment of the employee’s contribution to EPF and ESIC u/s. 36(1)(va) of the Act in the facts and circumstances of the case.
3. We note that the assessee is a company. The DCIT, CPC, Bangalore vide intimation u/s. 154 of the Act made addition of Rs.1,94,18,282/- on account of disallowance u/s. 36(1)(va) towards delayed payment of employee’s contribution to EPF and ESIC. The assessee contended that the employee’s contribution towards PF has been paid before the due date of filing of return of income for A.Y. 2018-19 but however the CPC, Bangalore Delhi did not accept the submissions of assessee and the CIT(A), NFAC remanded the issue to the file of AO for verification, with a direction that the assessee is entitled for claiming deduction that if the employee’s contribution is paid within due date of filing of return of income. We note that the CIT(A) did not dispute the payment of employee’s contribution by the assessee within due date of filing of return of income and it is evident from the impugned order that the assessee paid the employee’s contribution towards provident fund before the due date of filing of Income Tax Return. Therefore, the order of CIT(A) is justified. Thus, the assessee is entitled for deduction and grounds raised by the Revenue are dismissed.
In the result, the appeal of Revenue is dismissed.
Order pronounced in the open court on 01st September, 2022.