2023 (7) TMI 1539

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....ct, 1961 (the Act) concerning AY 2019-20. 2. The captioned appeal relates to Assessment Years 2019-20 involving issue of disallowance of expenditure towards employees contribution to ESIC/PF under Section 36(1)(va) of the Act. 3. When the matter was called for hearing, none appeared for the assessee. Under the circumstances, we proceed ex-parte in the absence of the assessee. 4. Ld. Sr.DR for the Revenue, on its part, contended that CPC has rightly made additions of Rs. 94,13,251/- to the returned income of the assessee on account of late deposits of employees' contribution to PF/ESIC while processing the return of income under Section 143(3) of the Act. The rectification application under Section 154 by the assessee thereon has bee....

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....Tribunal in Weather Comfort (supra) has held that such adjustment/disallowance is permissible in the proceedings carried out under Section 143(1) of the Act. In parity with the view taken by Co-ordinate Benches, on first principles, we do not see any merit in the case of the assessee for impermissibility of such adjustment under Section 143(1) of the Act. 6. The Co-ordinate Bench of Tribunal in the case of Sentinel Consultants Pvt. Ltd. vs. ACIT ITA No. 7 & 8/Del/2023 order dated 12.06.2023 observed in para no.9.3 of that order that month during which the disbursement of salary is actually made would be relevant for the purposes of determination of due date. The relevant operative para of the order of the Co-ordinate Bench of Tribunal....