Delay in Filing Appeals Excused; Fees for Late TDS Returns Pre-2015 to Be Deleted, Post-2015 Levy Upheld.

The ITAT Hyderabad condoned the 103-day delay in filing appeals, admitting them for adjudication due to sufficient reasons provided by the assessee. Regarding the late filing levy under Sec. 234E in TDS returns, the ITAT ruled that fees could not be levied for returns filed before 01/06/2015, directing the AO to delete such fees for the relevant period. For returns filed after 01/06/2015, the levy was upheld. Consequently, the appeals were allowed for certain assessment years, while one was partly allowed, based on the interpretation of statutory provisions and relevant precedents.

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Issues:
- Delay in filing appeals
- Late filing levy u/s 234E in TDS returns

Analysis:

Issue 1: Delay in filing appeals
The Appellate Tribunal ITAT Hyderabad considered the delay of 103 days in filing the appeals by the assessee. The assessee attributed the delay to heavy work in finalizing accounts, preparing audit reports, and filing income tax returns. The Tribunal, after perusing the record and the affidavit for condonation of delay, found that the assessee had sufficient reasons for the delay and thus condoned the delay, admitting the appeals for adjudication.

Issue 2: Late filing levy u/s 234E in TDS returns
The case involved TDS returns filed by the assessee for FYs 2012-13 to 2015-16, where the Assessing Officer raised demands due to late filing levy u/s 234E. The assessee contended before the CIT(A) that including late fee u/s 234E in the intimation u/s 200A was impermissible before 01/06/2015. The CIT(A), however, upheld the late filing levy u/s 234E based on a judgment of the Gujarat High Court. The assessee then appealed to the ITAT, raising various grounds. The ITAT referred to a previous decision of a coordinate bench in a similar case and held that the late filing fee u/s 234E could not be levied for TDS returns filed before 01/06/2015. Therefore, the ITAT directed the AO to delete the fees levied u/s 234E for the relevant period before 01/06/2015. For TDS returns filed after 01/06/2015, the levy of fees u/s 234E was deemed applicable. Consequently, the appeals for certain assessment years were allowed, while for one assessment year, it was partly allowed.

In conclusion, the ITAT Hyderabad allowed the appeals related to the delay in filing and the late filing levy u/s 234E in TDS returns for specific assessment years, based on the interpretation of relevant provisions and precedents cited during the proceedings.

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