Delayed Remittance of Employee Contribution Funds: ITAT Upholds Disallowance

Krystal Integrated Services Pvt Ltd Vs DCIT (ITAT Mumbai) Introduction: The Income Tax Appellate Tribunal (ITAT) Mumbai recently ruled on a case involving Krystal Integrated Services Pvt Ltd and the Deputy Commissioner of Income Tax (DCIT). The central issue in both appeals was the disallowance of delayed remittance of employees’ contribution under the Employees’ State Insurance (ESI) Act. The appeals for the assessment years 2017-18 and 2018-19 were heard together and decided in a common order. 1. Background of the Case: Krystal Integrated Services Pvt Ltd, engaged in facility man...