AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2018 (10) TMI 355
X X X X Extracts X X X X
X X X X Extracts X X X X
....ssessing Officer. The relevant grounds raised by the assessee reads as under:- 1) "That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts in confirming the order of Ld. AO levying fee / penalty u/s 234E and holding the assessee as "assessee in default" u/s 201 and has further erred in charging interest u/s 201 and section 220. 2) That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts in confirming the action of Ld. AO in holding that the "assessee in default" even though there was no default committed by the appellant in respect of provisions of section 194 IA. 3) That having regard to the fact and circumstances of the case, Ld. CIT (....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... other." 2. The facts in brief are that the assessee alongwith other co-owners of the family, namely, Smt. Shakuntla Gupta & Smt. Himani Gupta had purchased a property from eight persons for sums aggregating to Rs. 3,35,00,000/-; and each seller was paid sum of Rs. 41,87,500/-. Later on department issued intimation-cum-demand notice u/s 200A raising following demands:- u/s 201 Rs. 18,348/- u/s 234E Rs. 94,909/- u/s 220(2) Rs. 16,800/- Total Rs. 1,30,057/- The said order has been passed by AO/CPC, that statement of TDS u/s 194 IA has not been filed within time by the assessee. 3. Before the Ld. CIT (A), the assessee's contention has been that, firstly, each of the sellers were paid less than amount of Rs. 50 lacs in respect of th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....eposited. He submitted that, from the plain reading of section 234E, section 200(3) r.w. Rule-31A (4A), fee u/s 234E is leviable only when the statement is not filed as prescribed u/s 200(3), which in turn provides the statement is to be filed after payment of tax to the prescribed authority as per prescribed Rule- 31A(4A). The said Rule provides for filing of 'challan cum statement' within seven days from the date of deduction. Since, challan cum statement has been filed by the assessee on 05.04.2014 after paying the tax as required u/s 200(3), therefore, there was no default so as to warrant levy fee u/s 234E. In other words Rule-31A( 4A) merely refers to challan cum statement that means that filing of the statement after the tax ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....purchase, then there was a clear cut default and assessee was also liable for levy of fee u/s 234E read with section 200A. He thus strongly relied upon the order of the Ld. CIT (A). 6. We have heard the rival submissions and also perused the relevant finding given in the impugned orders as well as material referred to before us. At the outset, from the perusal of the rectification order u/s 200A generated by TDS (CPC), it is noticed that the TDS in 26QB mentions date of filing of 'challan cum statement' as 5.4.2014, wherein late filing of 'challan cum statement' u/s 234E has been levied. The assessee had purchased the property on 6.12.2013 i.e., relevant to the assessment year 2014-15. Since assessee had purchased the property from eight s....
X X X X Extracts X X X X
X X X X Extracts X X X X
....234E is leviable if the statement is not filed as prescribed u/s 200(3) which in turn provides that the statement to be filed after the payment of tax to the prescribed authority. The relevant rule 31A(4A) provides that for filing of the 'challan cum statement' within seven days from the date of deduction. Now here in this case the demand has been raised purely on the ground that statement has not been furnished for the tax deduction at source. As stated above, the assessee has duly deposited the tax not at the time of purchase albeit on 5.4.2014 and on the same date, statement has also been filed. The relevant provision of section 200(3) read with rule 31A (4A) only refers to filing of 'challan cum statement' after the tax has been paid. T....