2015 (10) TMI 1744

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the basis of written submissions of Assessee material on record. 3. Before us, the ld. D.R. submitted that the facts and circumstances of all the cases are similar except for the assessment years and amounts and the submissions are also common for all the appeals and therefore all the appeals can be heard together. We therefore proceed to dispose of all the appeals together for the sake of convenience and thus proceed with the facts in A.Y. 2003-04. 4. The relevant facts as culled out from the material on record are as under. 5. Assessee is a Co-op. Society registered under the Gujarat State Co-op. Society Act, 1962 and is interalia engaged in banking business. In this case ITO TDS-1, noticed that Assessee had made payments to Stat....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....y vide order dated 14.10.2010 imposed a penalty of RS. 60,127/-. Aggrieved by the order of A.O., Assessee carried the matter before CIT(A) who dismissed the appeal of the Assessee by holding as under:- Decision: The arguments of the A.O. as well as appellant have been considered. There is considerable force in the arguments of the A.O. Having regard to the strong arguments put forth by the A.O. and the decision of the Hon'ble ITAT, B-Bench, Ahmedabad, wherein on identical facts in the case of Canara Bank, it has been held that the bank was liable to deduct TDS on the MICR charges, the penalty imposed u/s.271C of the I.T. Act is confirmed. 6. Aggrieved by the order of CIT(A), Assessee is now in appeal before us and has raised th....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the material on record. In the present case it is an undisputed fact that Assessee has paid MICR charges to SBI and it is submitted that the MICR charges were recovered by SBI at regular intervals by debiting the account of the Assessee. It is also submitted that the MICR charges has been offered as income by S.B.I. and the default of non deduction of tax was not intentional but only due to accounting adopted by S.B.I. Before us, no material has been placed on record by Revenue to controvert the submissions of the Assessee. We find that in the case of Woodward Governors India Pvt. Ltd. (supra), the Hon'ble High Court has held that before levying penalty u/s. 271C, the concerned officer is required to find out that even if there was any fai....