2014 (6) TMI 108

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.... ORDER Per Shri Anil Chaturvedi,A.M. 1. This appeal is filed by the Revenue against the order of CIT(A)-V, Baroda dated 16.11.2010 for A.Y. 2007-08. 2. The facts as culled out from the material on record are as under. 3. Assessee is a firm stated to be engaged in the business of ginning and pressing of cotton. Assessee filed its return of income for A.Y. 07-08 on 22.10.2007 declaring ....

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.... has taken into consideration only one limb of section 43B i.e. Tax, whereas it also includes any duty, cess or fees under any law payable. Thus, market cess is clearly covered u/s.43B. The assessee had debited a sum of Rs.13,54,491/- as market cess paid to Shree Khetiwadi Utpann Bazar Samiti, out of which Rs.7,83,786/- was paid in the month of November, 2007. Thus, it was not deductible expens....

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....:- 4.2. In appeal, it is argued that market cess payments cannot be brought within the ambit of Section 43B. It is stated that the payment under Gujarat Agricultural Produce Market Act, 1963 or Rules made thereof does not prescribe any due dates for making such payments. The decision in the case of CIT vs. Mansuklal Prachibhai 227 ITR 429 (MP) and CIT Vs. Mohansingh 216 ITR 432 (MP) were mainly....

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....as clearly covered u/s. 43B as Section 43B includes any duty cess or fees paid under any law. He therefore submitted that A.O had rightly disallowed the payment and therefore the order of A.O. needs to be upheld. The ld. A.R. on the other hand supported the order of CIT(A) and further submitted that tax was paid before the due date of filing of return. He submitted that (CBDT) vide order dated 31.....