Case Law Details
K A Hospitality Private Ltd. Vs Income Tax Department (ITAT Mumbai)
Grievance of the assessee, in this appeal, is that the CIT(A) is not justified in upholding the adjustment, made by the Centralized Processing Centre Bengaluru while processing income tax returns under section 143(1) in respect of disallowance of on account of delay in making the payment towards the employees’ contribution for the provident fund, under section 36(1)(va) r.w.s. 2(24)(x) of the Act based on mere Tax Audit Report of Auditor.
An identical issue was consideration by the Tribunal in the case of Kalpesh Synthetics Pvt. Ltd., in ITA No. 1785/Mum/2021. In this case ITAT held that impugned adjustment in the course of processing of return under section 143(1) is vitiated in law.
ITAT held that In the absence of any contrary decision before us, we respectfully following the decision of co-ordinate bench uphold the plea of the assessee in the terms indicated above. The impugned adjustment is thus, deleted.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
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