2025 (12) TMI 586

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....ed 28.05.2025 for Assessment Years 2017-18 and 2024-25. 2. First we take the appeal filed by the revenue in ITA NO. 126/DDN/2025 for AY 2017-18. ITA No.126/DDN/2025 for Assessment Year 2017-18 3. Heard both the parties and perused the materials available on record. At the outset, it is seen that solitary issue in the appeal of the Revenue is with regard to the disallowing the depreciation claimed on the assessed acquired by the assessee on the split up from Uttar Pradesh Jal Vidyut Nigam Limited (UPJVNL). In the grounds of appeal itself Revenue has taken the ground that the order of the Co-ordinate Bench of ITAT stood challenged before the Hon'ble High Court of Uttarakhand. Therefore, the order of the Ld. CIT(A) who has followed th....

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....6(1)(va) of the Act. 8. Against the said order, assessee preferred an appeal before the Ld. CIT(A), who by following the judgement of Hon'ble Supreme Court in the case of M/s Checkmate Service Pvt. Ltd. vs. CIT [2022] reported in 143 Taxmann.com 178 (SC) has confirmed the disallowance. 9. Against the said order, the assessee is in appeal before the Tribunal wherein following grounds of appeal are taken. "1. That having regard to the foots and circumstances of the case, Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. AO/CPC in assuming jurisdiction u/s 143(1) which is bad-in-law on various legal and factual grounds. 2. That having regard to the facts and circumstances of the case, Ld. CIT(A) h....

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....ble Supreme Court in the case of Checkmate Service Pvt. Ltd. (supra). However, it is argued by the ld. AR for the assessee that due date has to be reckoned from the actual date of payment of salary as has been held by the Co-ordinate Delhi Bench of Tribunal in the case of M/s M.S. Vigilant Security Placement & Detective Services (P) Ltd. in ITA No.696/Del/2024. Though the delayed payment of employees contribution of PF & ESI is not allowable as expenses as per section 36(1)(va) of the Act however, we find force in the argument of the assessee for the purpose of due date under the respective Act, actual date of payment of salary should be taken into consideration. The Co-ordinate Bench in the case of M.S. Vigilant Security Placement & Detect....

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....isbursement of the salary the payment in respect of such contribution should be made forthwith. If for some reason or other the payment of salary for a particular month be held up for considerable period of time it cannot be said that the employer would be liable to make payments in respect of the "employer's" as well as "employees" contribution in respect of wages for such period within a period of 15 days from the close of the month to which the wages relate. On the other hand, in our view, most appropriate interpretation would be that the employer would be at liberty to make payment of the contribution concerned within 15 days (subject however to the further grace period) from the end of the month during which the disbursement of the....