Only grievance of the Revenue is that the amendment brought in the Income Tax Act u/s. 40(a(ia) was only effective from 1.4.2010 and not retrospective in nature. However, we find that in a catena of case laws as mentioned, it has been held that the amendment in section 40(a)(ia) is remedial and curative in nature and has retrospective effect. In this case, admittedly, the TDS deducted was deposited before the date of the filing of the return and under such situation, there cannot be any disallowance u/s. 40(a)(ia). Thus we find that Ld. Commissioner of Income Tax (Appeals) has taken a correct view in the matter, which does not need any interference on our part. Accordingly, we uphold the same.
INCOME TAX APPELLATE TRIBUNAL, DELHI
I.T.A. No. 1300/Del/2012 – A.Y. : 2008-09
Income Tax Officer Vs. Sh. Naresh Kumar
ORDER
PER SHAMIM YAHYA: AM
This appeal by the Revenue is directed against the order of the Ld. Commissioner of Income Tax (Appeals)-XXVIII, New Delhi dated 05.1.2012 pertaining to assessment year 2008-09.
2. The grounds raised read as under:-
“1. The Ld. Commissioner of Income Tax (Appeals) grossly erred in deleting the addition of ` 52,10,873/- made by the Assessing Officer u/s. 40(a)(ia) on account of late deposit of TDS made by the assessee with respect to rent, commission and maintenance expenses not appreciating fact that the amendment brought in the Income Tax Act u/s. 40(a)(ia) was only effective from 01.4.2010 and not retrospective in nature.
2. The appellant craves to add, amend or modify the ground of appeal at any time.”
3. In this case Assessing Officer noted that as per column 27(b) of the Audit Report the following TDS has been deposited late.
