TaxTMI 
TaxTMI 
2017 (3) TMI 105
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....income of Rs. 15,80,66,050/-. The return was processed under section 143(1) of the Income Tax Act, 1961 (in short 'the Act') and the case was subsequently taken up for scrutiny. The assessment was completed under section 143(3) of the Act vide order dated 31.01.2015 wherein the assessee's income under normal provisions was determined at Rs. 16,34,64,440/- in view of the following disallowances: - (i) Under section 2(24)(x) r.w.s 36(1)(va) on account of delayed payments of EPF Rs. 28,70,807/- (ii) Interest on delayed payment of TDS Rs. 71,043/- (iii) Disallowance under section 43B Rs. 39,16,035/- 2.2 Aggrieved by the order of assessment for A.Y. 2012-13 dated 31.01.2015, the assessee preferred ....
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....ount of EPF were paid by the assessee before the due date of filing of the return of income for A.Y. 2012013. According to the learned A.R. of the assessee this issue in question, i.e. payment of contribution to Employees Provident Fund (EPF) is covered in favour of the assessee by the decision of the Hon'ble Bombay High Court in the case of CIT vs. Hindustan Organic Chemicals Ltd. (2014) 366 ITR 1) (Bom). 3.3 Per contra, the learned D.R. for Revenue placed strong reliance on the decision of the learned CIT(A) on this issue. 3.4.1 We have heard the rival contentions and carefully considered the material on record, including the judicial pronouncements cited and placed reliance upon. It is not disputed that the fact situation is th....
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....it in the aforestated contention. Section 43B of the Income Tax Act 1961 was inserted in the Act with effect from 1st April 1984 by which the mercantile system of accounting with regard to tax, duty and contribution to welfare funds stood discontinued and under section 43B of the Act, it became mandatory for the Assessees to account for the aforestated items not on a mercantile basis but on a cash basis. This situation continued between 1st April 1984 and 1st April 1988 when Parliament again amended section 43B and inserted the first proviso thereto which inter alia laid down that in the context of any sum payable by the Assessee by way of tax, duty, cess or fee, if paid by the Assessee even after the closing of the accounting year but befo....
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.... before the due date given in the relevant Act. 7. However, the second proviso once again created further difficulties for the Assessees - employers. Therefore, Industry once again made representations to the Ministry of Finance who, after taking cognizance of the difficulties, inserted an amendment vide Finance Act, 2003 which came into force with effect from 1st April 2004. In other words, with effect from 1st April 2004, two changes were made in section 43B viz. deletion of the second proviso to section 43B and further amendment in the first proviso which reads as under:- "Provided that nothing contained in this section shall apply in relation to any sum which is actually paid by the assessee on or before the due date applica....
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....find that no substantial question of law arises on this count as sought to be contended by Mr Malhotra on behalf of the Revenue. 9. Even otherwise, we fail to understand how this deduction could have been disallowed to the Assessee. Admittedly, the Assessment Year in question is 2006-07. The second proviso to section 43B quoted above was deleted with effect from 1st April 2004 and simultaneously the first proviso was also amended bringing about a uniformity in deductions claimed towards tax, duty, cess and fee on the one hand and contribution to the employees' provident fund, superannuation fund and other welfare funds on the other. These deductions being claimed in the return of income filed for the Assessment Year 2006-07, the amen....