2012 (9) TMI 1144

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....ate payment of employees' contribution of ESIC & PF. 2. The order of the CIT(A)is erroneous and is not tenable on facts and in law. 3. The appellant craves leave to add, to alter, or amend any/all of the grounds of the appeal before or during the course of the hearing of the appeal." 2. Facts, in brief, as relevant orders are that e-return declaring income of Rs. 1,50,37,034/- filed on 30th November, 2008 by the assessee, providing management services for large buildings, hospitals, factories etc., was selected for scrutiny with the service of a notice u/s 143(2) of the Income-tax Act, 1961 (hereinafter referred to as the 'Act') issued on 16.3.2009. During the course of assessment proceedings, the Assessing Officer [AO ....

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....he case of CIT Vs. Vinay Cement Ltd.,213 CTR (SC) 268 , concurred with the view taken by the Hon'ble Madras High Court in Nexus Computer (P) Ltd.,219 CTR(Mad) 54 that employer/employees' contribution towards provident fund payments made after the due date prescribed under the Employees' Provident Fund Act and Rules made thereunder and before the due date for furnishing the return of income under sub sec. 1 of sec. 139 of the Act, are allowable under s.36(1)(va) read with sec. 2(24(x) and sec. 43B of the Act. 5.1 Moreover, recently Hon'ble Apex Court in the case of CIT vs Alom Extrusions Ltd., 319 ITR 306 (SC) held that the omission of the second proviso to section 43B of the Act by the Finance Act, 2003, operated, retrospectively, with e....

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.... no. 1063/2008 now reported in 321 ITR 508 observed that sec. 2(24)(x) provides that amounts received by an assessee from employees towards PF contributions etc. shall be "income". S. 36 (1) (va) provides that if such sums are contributed to the employees account in the relevant fund on or before the due date specified in the PF legislation, the assessee shall be entitled to a deduction. The second Proviso to s. 43B (b) provided that any sum paid by the assessee as an employer by way of contribution to any provident fund shall be allowed as a deduction only if paid on or before the due date specified in 36(1)(va) of the Act. After the omission of the second Proviso w.e.f 1.4.2004, the deduction is allowable under the first Proviso if the pa....