Assessing Officer noticed from audit report Form No. 3CD that the assessee has incurred contractual payments towards fabrication and erection expenses and deducted TDS. But TDS was not deposited within the time limit prescribed u/s. 201 of the Act. The same was deposited on 15.02.2006. The Ld. Counsel for the assessee could not contribute anything which supports his case.
But after going through the records, we find that the tax so deducted was not paid during the previous year or on or before the due date specified in section 139(1) of the Act as authorised in section 40(a)(ia) of the Act by the Finance Act, 2008 with retrospective effect from 01.04.2005. Since the payment is made as on 15.02.2006, as authorised by the proviso to section 40(a)(ia) of the Act the deduction will be allowed in Assessment Year 2006-07 and not in this year.
INCOME TAX APPELLATE TRIBUNAL, KOLKATA
I.T.A No. 1960/Kol/2008 -Assessment Year: 2005-06
Sen Brothers Enterprises Pvt. Ltd.
Vs.
Assistant Commissioner of Income-tax
Date of pronouncement: 23.03.2012
ORDER
Per Mahavir Singh, JM
This appeal by assessee is arising out of order of CIT(A), Durgapur in Appeal No.133/CIT(A)/DGP/07-08 dated 30.06.2008. Assessment was framed by ACIT, Circle-2, Durgapur u/s. 143(3) of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for Assessment Year 2006-06 vide his order dated 5.12.2007.
