INCOME TAX OFFICER, BANGALORE vs. M/S.DUSTERS TOTAL SOLUTIONS SERVICES PVT. LTD., BANGALORE

This is an appeal filed by the revenue directed against the order of the Commissioner of Income-tax (Appeals)-2, Bengaluru,[CIT(A)], dated 15/06/2016 for the assessment year 2013-14. The assessee has filed cross objections.

4. The only issue in the present appeal is whether belated remittance of PF and ESI contribution under respective laws but within due date for filing of return of income is eligible for deduction. This issue is squarely covered in favour of the assessee-company by the decision of the jurisdictional High Court in the case of CIT vs. Sabari Enterprises (298 ITR 141). The CIT(A), following the decision of the jurisdictional High Court in the above case allowed the appeal. Therefore, we do not find any reason to interfere with the order of the CIT(A). Hence, the appeal filed by the revenue is dismissed.

5. The cross objections filed by the assessee challenge the finding of the CIT(A) that 14A disallowance is warranted even in absence of exempt income. Now, the issue is squarely covered by the ITAT decision in & 1482/Bang/2015 dated 09/06/2017 in the case of the assessee for the assessment years 2010-11 and 2011-12. In the light of the co-ordinate bench decision, the cross objections filed by the assessee are allowed.