TaxTMI 
TaxTMI 
2020 (8) TMI 510
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....peal of the assessee is not a valid appeal. However, the issue raised in this appeal is otherwise covered by the various decisions of this Tribunal by taking a consistent view. The assessee has raised following grounds of appeal: "1. The assesse has Filed an appeal with Ld CIT(appeals) Ajmer against the intimation dated 05/05/2016 issued under section 200A OF IT ACT 1961 Levying late filing Fee of rs 69200/- U/s 234 by ACIT, CPC(TDS) Ghaziabad(TDS return Relates to 24Q 1st Qtr. (2017-2018). 2. As per provision of Sec. 234 E late fee cannot be recovered for TDS statements which were due for F.Y 2016-17 as well on TDS statements late fee cannot be recovered for F.Y 16-17 if not collected at the time of delivering TDS statements to the deptt. Provision of Sec. 234 E has been made applicant with effect from 1st July 2012. It states that "Amount of late fee shall be paid before delivering a TDS statement". It means that any late fee should have fee deposited just at the time of delivering TDS statements & not later than this. The authorized TIN-NSDL centre which accepted the TDS statements also accepted there without late fee, as well as the software utility of the TDS deptt. It sel....
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....filed following written submissions on this issue: "1. Late fees U/s.234E of the IT Act 1961 1.1) Provisions of Sec. 234E made applicable w.e.f 1st July, 2012 states that " Amount of late fee shall be paid before delivering a TDS statement", It means that any late fee should have been deposited just at the time of delivering TDS statement and not later than this. The authorized TIN- NSDL centre which accepted the TDS statement also accepted these without late fee, as well as the software utility of the TDS department itself accepted these without late fee. Once the TDS statement has been accepted without late fee, then such late fee cannot be recovered later on. Hence the order issued U/s 200A levying late fees U/s 234E after delivering TDS statement is not in accordance with the provisions of the Act. Hence liable to be quashed. 1.2 It is hereby worthwhile to mentioned that the delay is only technical, as tax was deducted & deposited in Time, also no loss to revenue. The Processing of 24q cannot be completed without 24 Q4 ie annual detail being processed & generation of Form 16. The due date is 31/05/2016.It has filed before this date. No loss to any person to whom 24Q relat....
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.... made thereunder) [in the case of credit, or, as the case may be, payment] of any other sum chargeable under the provisions of this Act, the payer himself or, if the payer is a company, the company itself including the principal officer thereof in the case of credit, or as the case may be, payment of any sum chargeable under the provisions of this Act made by or on behalf of the Central Government or the Government of a State, the drawing and disbursing officer or any other person, by whatever name called, responsible for crediting, or as the case may be, paying such sum.] " Section 204 particularly states that "for the purposes of Sec. 190 to Sec. 203 and for Sec. 285 of the Act the following persons would be responsible", so it is clear that for the purpose of Sec. 234E none of the person has been made responsible, therefore if any late fee is due and not deposited along with the TDS statement none can be held responsible to deposit it. In our case the deductor is Government so as Per law Government cannot be held responsible person to deposit it. 1.4) The central board of direct tax is also examining the desirability and expediency of prescribing situations/circumstances....
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.... mechanism for processing and computing besides other, fee payable under section 234E for late filing of statements, it cannot override or overrule a charging provision like section 234E Section 200A is a machinery provision providing mechanism for processing a statement of deduction of tax at source and for making adjustments, which are, arithmetical or prima facie in nature. With effect from 1-6-2015, this provision specifically provides for computing the fee payable under section 234E. On the other hand, section 234E is a charging provision creating a charge for levying fee for certain defaults in filing the statements. Under no circumstances a machinery provision can override or overrule a charging provision. Section 200A does not create any charge in any manner. It only provides a mechanism for processing a statement for tax deduction and the method in which the same would be done. Even in absence of section 200A with introduction of section 234E, it was always open for the revenue to demand and collect the fee for late filing of the statements. Section 200A would merely regulate the manner in which the computation of such fee would be made and demand raised. Thus, the view ....
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.... the Act cast obligation on persons responsible for paying certain amounts to deduct TDS as well as TCS at source. The dispute before us in this appeal of the assessee is regarding the obligation of TDS and submission of quarterly TDS statements as required U/s 200(3) of the Act, which reads as under: "Section 200- Duty of person deducting tax. [(3) Any person deducting any sum on or after the 1st day of April, 2005 in accordance with the foregoing provisions of this Chapter or, as the case may be, any person being an employer referred to in sub-section (1A) of section 192 shall, after paying the tax deducted to the credit of the Central Government within the prescribed time, 24[prepare such statements for such period as may be prescribed] and deliver or cause to be delivered to the prescribed income-tax authority 25 or the person authorised by such authority such statement in such form26 and verified in such manner and setting forth such particulars and within such time as may be prescribed:] [Provided that the person may also deliver to the prescribed authority a correction statement for rectification of any mistake or to add, delete or update the information furnished in t....
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....xpeditiously determine the tax payable by, or the refund due to, the deductor as required under the said sub-section.] Section 200A(1) of the Act envisages the method and various adjustments which are required to be made by the A.O. while processing the statement of TDS and issuing intimation. Clause (c) of sub section (1) of Section 200A of the Act provides for adjustment on account of fee if any to be computed in accordance with the provisions of Section 234E of the Act. Therefore, in case, there is a default or delay in submitting the TDS statements, a late fee is levied as contemplated U/s 234E of the Act and the A.O. while processing the statements of TDS shall make the adjustment on this account. Thus, so far as the nature of levy U/s 234E of the Act is concerned, it is mandatory in nature and the A.O. has no discretion to take its own decision but he has to make the adjustment on account of levy of late fee as provided U/s 234E of the Act in case there is a delay in submitting the TDS statement. The levy has to be computed in accordance with the rate prescribed U/s 234E of the Act. 7. As far as merit of the appeal is concerned, we do not find any substance or merit in th....