TaxTMI 
TaxTMI 
2016 (1) TMI 1026
X X X X Extracts X X X X
X X X X Extracts X X X X
....ether and are being disposed of by this consolidated order for the sake of convenience. For the facility of reference, I take the lead case as ITA No. 2888/Ahd/2015 for AY 2014-15. 2. In this appeal, the assessee has raised following grounds:- "The order of the learned Commissioner of Income-tax (Appeals)-8, Ahmedabad in confirming levy of fees u/s 234E is bad in law on the following grounds:- 1. There is no inherent power with AO (DCIT-CPC Cell- TDS) u/s 200A of the Act to levy and charge fees u/s 234E on their own in absence of specific power conferred on them. Such power is absent in said section. No one can assume such per suo motto. 2. There is no provision u/s 234E that after filing TDS return, late filin....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ad rendered in ITA No.3271/Ahd/2014. It reads as under: "5. I find that the issue in appeal is now squarely covered in favour of the assessee by the decision of ITAT Amritsar Bench in the case of Sibia Healthcare Private Limited vs. DCIT - ITA No.90/Asr/2015, vide order dated 9th June, 2015, wherein the Division Bench has inter alia observed as under :- "4. We have heard the rival contentions, perused the material on record and duly considered facts of the case in the light of the applicable legal position. In addition to his argument on the merits, learned counsel has also invited our attention to the reports about the decisions of various Hon'ble High Courts, including Hon'ble Kerala High Court, in the case of Narath Map....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... (2) The amount of fee referred to in sub-section (1) shall not exceed the amount of tax deductible or collectible, as the case may be. (3) The amount of fee referred to in sub-section (1) shall be paid before delivering or causing to be delivered a statement in accordance with sub- section (3) of section 200 or the proviso to sub- section (3) of section 206C. (4) The provisions of this section shall apply to a statement referred to in sub-section (3) of section 200 or the proviso to sub-section (3) of section 206C which is to be delivered or caused to be delivered for tax deducted at source or tax collected at source, as the case may be, on or after the 1st day of July, 2012. 6. We may also reproduce the Section....
X X X X Extracts X X X X
X X X X Extracts X X X X
....n under this sub-section shall be sent after the expiry of one year from the end of the financial year in which the statement is filed. Explanation : For the purposes of this sub-section, "an incorrect claim apparent from any information in the statement" shall mean a claim, on the basis of an entry, in the statement- (i) of an item, which is inconsistent with another entry of the same or some other item in such statement; (ii) in respect of rate of deduction of tax at source, where such rate is not in accordance with the provisions of this Act; (2) For the purposes of processing of statements under sub-section (1), the Board may make a scheme for centralised processing of statements of tax deducted at source to e....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ion 234E". There is no dispute that what is impugned in appeal before us is the intimation under section 200A of the Act, as stated in so many words in the impugned intimation itself, and, as the law stood, prior to 1st June 2015, there was no enabling provision therein for raising a demand in respect of levy of fees under section 234E. While examining the correctness of the intimation under section 200A, we have to be guided by the limited mandate of Section 200A, which, at the relevant point of time, permitted computation of amount recoverable from, or payable to, the tax deductor after making the following adjustments: (a). after making adjustment on account of "arithmetical errors" and "incorrect claims apparent from any inform....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... which the related TDS statement is filed, and as the related TDS statement was filed on 19th February 2014, such a levy could only have been made at best within 31st March 2015. That time has already elapsed and the defect is thus not curable even at this stage. In view of these discussions, as also bearing in mind entirety of the case, the impugned levy of fees under section 234 E is unsustainable in law. We, therefore, uphold the grievance of the assessee and delete the impugned levy of fee under section 234E of the Act. The assessee gets the relief accordingly." 6. When the above judicial precedent was brought to the notice of the ld. Departmental Representative, he did not have much to say except to place his reliance on the o....