ITAT Allahabad Judgments — November 2022

The Tribunal held that the employee's contribution to PF and ESI, if paid belatedly as per the respective Acts, even if before the due date of filing the return, is not deductible. This is in line with the Supreme Court's decision in Checkmate Services (P.) Ltd.

The Tribunal set aside the ex-parte order of the CIT(A) and restored the appeal to the CIT(A)'s file for fresh adjudication. The CIT(A) was directed to provide adequate opportunity of being heard to the assessee.

The Tribunal held that the Revenue's appeal was not maintainable as the tax effect was below the monetary limit prescribed by CBDT Circulars. The Assessing Officer also accepted that the circular was applicable and the appeal was not maintainable.

The Tribunal held that the PCIT rightly invoked Section 263 as the AO failed to conduct adequate inquiries and verifications before passing the assessment order. The assessment order was deemed erroneous and prejudicial to the interest of revenue.

The ITAT held that the CIT(A) order was a non-speaking order, violating Section 250(6) of the Income Tax Act, as it did not discuss the issues involved. The matter was remanded for re-adjudication.