Case Law Details

Case Name : Commissioner of Income Tax, Central II Vs M/S. R.E.J. Agro Ltd. (Calcutta High Court)
Appeal Number : GA 3022 of 2013, ITAT 161 of 2013
Date of Judgement/Order : 23/12/2013
Related Assessment Year :
Courts : All High Courts (4421) Calcutta High Court (177)

The Assessing Officer also disallowed the expenditure under section 14A of the Income Tax Act, 1961 without first recording that he was not satisfied with the correctness of the claim as regards the claim that “no expenditure” was made by the assessee. Disallowance under section 14A of the Income Tax Act, 1961 is plainly  contrary to the provisions of the statute.

Amount deposited on account of employees’ contribution to PF beyond the due date was deductible by invoking the amended provision of section 43B of the Act.

HIGH COURT AT CALCUTTA

Civil Appellate Jurisdiction

ORIGINAL SIDE

COMMISSIONER OF INCOME TAX, CENTRAL II

Versus

M/S. R.E.I. AGRO LTD.

GA 3022 OF 2013, ITAT 161 OF 2013

BEFORE:

The Hon’ble JUSTICE GIRISH CHANDRA GUPTA

The Hon’ble JUSTICE JYOTIRMAY BHATTACHARYA

Date : 23rd December, 2013.

ORDER

The Court : The Assessing Officer disallowed the contribution made by the assessee towards provident fund to the extent of a sum of Rs.1,92,913/- on the ground that the deposit was made beyond the stipulated time.

The Assessing Officer also disallowed the expenditure under section 14A of the Income Tax Act, 1961 without first recording that he was not satisfied with the correctness of the claim as regards the claim that “no expenditure” was made by the assessee.

The contribution towards provident fund, even if deposited beyond the stipulated period, is allowable by virtue of the amendment and the disallowance under section 14A of the Income Tax Act, 1961 is plainly  contrary to the provisions of the statute. The CIT, in the circumstances, allowed the appeal of the assessee and the Tribunal did not interfere.

Challenging the order of the tribunal, the present appeal has been filed.

We have heard Mr. Bhowmik and are of the opinion that no point of law has been raised. Therefore, this appeal is dismissed.

(GIRISH CHANDRA GUPTA, J.)

(JYOTIRMAY BHATTACHARYA, J.)

Read – ITAT Judgment in this case at the link given below :- CIT vs. Vijay Shree Ltd (ITAT Kolkata)

NF

More Under Income Tax

Posted Under

Category : Income Tax (28362)
Type : Judiciary (12672)
Tags : high court judgments (4738) Section 14A (283) section 43B (91)

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