M/s Ashok Auto Sales Ltd.,, Agra v. J.C.I.T., Range-4, Agra

ITA 139/AGR/2013 | 2009-2010
Pronouncement Date: 19-07-2013 | Result: Dismissed

Appeal Details

RSA Number 13920314 RSA 2013
Assessee PAN AABCA3711C
Bench Agra
Appeal Number ITA 139/AGR/2013
Duration Of Justice 2 month(s) 17 day(s)
Appellant M/s Ashok Auto Sales Ltd.,, Agra
Respondent J.C.I.T., Range-4, Agra
Appeal Type Income Tax Appeal
Pronouncement Date 19-07-2013
Appeal Filed By Assessee
Order Result Dismissed
Bench Allotted DB
Tribunal Order Date 19-07-2013
Date Of Final Hearing 15-07-2013
Next Hearing Date 15-07-2013
Assessment Year 2009-2010
Appeal Filed On 02-05-2013
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH AGRA BEFORE : SHRI BHAVNESH SAINI JUDICIAL MEMBER AND SHRI A.L. GEHLOT ACCOUNTANT MEMBER ITA NO. 139/AGRA/2013 ASSTT. YEAR : 2009-10 ASHOK AUTO SALES LTD. VS. J.C.I.T. RANGE-4 12/146 NUNHAI AGRA. AGRA. (PAN: AABCA3711C) (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI S.C. JAIN C.A. RESPONDENT BY : SHRI S.L. MAURYA SR. D.R. DATE OF HEARING : 15.07.2013 DATE OF PRONOUNCEMENT OF ORDER : 19.07.2013 ORDER PER BHAVNESH SAINI J.M.: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER OF LD. CIT(A)-II AGRA DATED 14.02.2013 FOR THE ASSESSMENT YEAR 2009- 10 CHALLENGING THE DISALLOWANCE OF INTEREST OF RS.18 02 893/- U/S. 40( A)(IA) OF THE IT ACT. 2. THE AO MADE ADDITION OF RS.18 02 893/- U/S. 40(A )(IA) FOR NON-DEDUCTION OF TDS ON INTEREST PAID TO TATA CAPITAL LTD. OF RS.16 94 743/- AND TO TATA MOTOR FINANCE LTD. RS.1 08 150/-. AS THE ASSESSEE HAS ADM ITTED THAT TDS WHICH WAS REQUIRED TO BE DEDUCTED ON PAYMENT OF INTEREST AS P ER THE ACT HAS NOT BEEN DEDUCTED AND PAID DUE TO INADVERTENT MISTAKE THE A O MADE THE ADDITION. THE ITA NO. 139/AGRA/2013 2 ASSESSEE CHALLENGED THE ADDITION BEFORE THE LD. CIT (A) AND WRITTEN SUBMISSIONS OF THE ASSESSEE ARE REPRODUCED IN THE APPELLATE ORDER. THE SOLE CONTENTION OF THE ASSESSEE WAS THAT THE DISALLOWANCE UNDER THE ABOVE PROVISION CAN BE MADE IN RESPECT OF THE EXPENDITURE PAYABLE AT THE END OF TH E YEAR AND NOT ON THE AMOUNTS ALREADY PAID WITHOUT DEDUCTING TAX. THE ASSESSEE RE LIED UPON THE DECISION OF SPECIAL BENCH OF ITAT VISHAKHAPATNAM BENCH IN THE CASE OF MERILYN SHIPPING & TRANSPORTS VS. ACIT 136 ITD 23 IN WHICH IT WAS HE LD THAT THE ADDITION COULD BE MADE WHEN TAX HAS NOT BEEN DEDUCTED ON THE EXPENDIT URE PAYABLE AT THE END OF THE YEAR AND NOT ON THE EXPENDITURE WHICH HAS ALREADY B EEN PAID. THE LD. CIT(A) HOWEVER FOUND THAT THE ASSESSEE HAS ADMITTED THAT TAX HAS NOT BEEN DEDUCTED WHICH WAS DUE. FURTHER THE DECISION OF ITAT SPECIA L BENCH ABOVE IS NO LONGER APPLICABLE AS THE OPERATION OF THE DECISION HAS BEE N STAYED BY THE HONBLE HIGH COURT. THEREFORE THE ADDITION WAS CONFIRMED. 3. ON CONSIDERATION OF THE SUBMISSIONS OF THE PARTI ES WE DO NOT FIND ANY MERIT IN THE APPEAL OF THE ASSESSEE. THE ASSESSEE ADMITTE D BEFORE THE AO THAT TDS HAS TO BE DEDUCTED ON PAYMENT OF INTEREST. THEREFORE THE ASSESSEE ADMITTED APPLICABILITY OF PROVISIONS OF SECTION 40(A)(IA) OF THE IT ACT IN THE MATTER. THE LD. COUNSEL FOR THE ASSESSEE ONLY SUBMITTED THAT EVEN IF DECISION O F SPECIAL BENCH ABOVE HAS BEEN STAYED BY ANDHRA PRADESH HIGH COURT BUT THE PRINCI PLE IS STILL IN FAVOUR OF THE ITA NO. 139/AGRA/2013 3 ASSESSEE. WE ARE AFRAID TO ACCEPT SUCH CONTENTION O F THE LD. COUNSEL FOR THE ASSESSEE BECAUSE ONCE THE ORDER OF ITAT SPECIAL BENCH IS STA YED BY THE HONBLE HIGH COURT IT IS NO LONGER APPLICABLE IN FAVOUR OF THE ASSESSEE AS ON TODAY. THEREFORE THERE IS NO QUESTION OF ITS PRINCIPLE REMAINED IN F AVOUR OF THE ASSESSEE. SINCE THE DECISION OF SPECIAL BENCH ABOVE HAS ADMITTEDLY BEEN STAYED BY THE HONBLE HIGH COURT THEREFORE THE SAME CANNOT BE APPLIED IN ANY FORM IN FAVOUR OF THE ASSESSEE AS ON TODAY. THE APPEAL OF THE ASSESSEE HAS THUS NO MERIT AND IS ACCORDINGLY DISMISSED. 4. IN THE RESULT THE APPEAL OF THE ASSESSEE IS DIS MISSED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (A.L. GEHLOT) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER *AKS/- COPY OF THE ORDER FORWARDED TO : 1. APPELLANT 2. RESPONDENT 3. CIT(A) CONCERNED BY ORDER 4. CIT CONCERNED 5. DR ITAT AGRA 6. GUARD FILE SR. PRIVATE SECRETARY TRUE COPY