Kalinga Institute of Industrial Technology, Bhubaneswar v. ACIT(TDS), Bhubaneswar

ITA 252/CTK/2010 | 2007-2008
Pronouncement Date: 25-02-2011

Appeal Details

RSA Number 25222114 RSA 2010
Bench Cuttack
Appeal Number ITA 252/CTK/2010
Duration Of Justice 7 month(s) 24 day(s)
Appellant Kalinga Institute of Industrial Technology, Bhubaneswar
Respondent ACIT(TDS), Bhubaneswar
Appeal Type Income Tax Appeal
Pronouncement Date 25-02-2011
Appeal Filed By Assessee
Bench Allotted DB
Assessment Year 2007-2008
Appeal Filed On 01-07-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK ( ) BEFORE . . HONBLE SHRI K.K.GUPTA ACCOUNTANT MEMBER. /AND . . . S HRI K.S.S.PRASAD RAO JUDICIAL MEMBER / I.T.A.NO. 252 AND 253/CTK/2010 / ASSESSMENT YEAR S 2007 - 08 AND 1008 - 09 KALINGA INSTITUTE OF INDUSTRIAL TECHNOLOGY PLOT NO.383 384 PATIA BHUBANESWAR 751 024 ORISSA PAN: BBNK00189A - - - VERSUS - ASST. COMMISSIONER OF INCOME - TAX (TDS) BHUBANESWAR. ( /APPELLANT ) ( / RESPONDENT ) / FOR THE APPELLANT : / SHRI S.K.AGARWALLA/C.R.DAS ARS / FOR THE RESPONDENT: / SHRI S.C.MOHANT Y DR / ORDER . . SHRI K.K.GUPTA ACCOUNTANT MEMBER. THESE TWO APPEALS ARE BY THE ASSESSEE AGAINST ORDERS DT.26.4.2010 OF THE COMMISSIONER OF INCOME - TAX (APPEALS) CONFIRMING LEVY OF INTEREST U/S.201(1A) OF THE INCOME - TAX ACT 1961 FOR THE AYS 2007 - 08 AND 2008 - 09. 2. ON VERIFICATION OF LEDGER ACCOUNTS MAINTAINED FOR TDS IT WAS NOTICED THAT THE ASSESSEE HAD DEDUCTED TDS FROM SALARY PAYMENTS AND ALSO OTHER PAYMENTS AS PER SCHEDULES ATTACHED TO THE RESPECTIVE ORDERS OF THE ACIT(TDS) BUT DEPOSITED THE SAME BEYOND THE DUE DATE. THEREFORE THE ACIT(TDS) LEVIED INTEREST U/S.201(1A) OF 5 81 253 IN THE ASSESSMENT YEAR 2007 - 08 AND 2 66 375 IN THE ASSESSMENT YEAR 2008 - 09. AGGRIEVED THE ASSESSEE APPEALED BEFORE THE COMMISSIONER OF INCOME - TAX (APPEALS) AND BEING UNSUCCESSFUL HAS PREFERRED THESE APPEALS HERE BEFORE THE TRIBUNAL. 3. THE LE ARNED AR OF THE ASSESSEE CONTENDED BEFORE US THAT THE LEARNED ACIT (TDS) HAD PREVIOUSLY PASSED ORDERS RAISING DEMAND U/S.201(1A) . I.T.A.NO.252 AND 253/CTK/2010 2 THEREFORE THE LEARNED ACIT(TDS) IS NOT JUSTIFIED IN RAISING FURTHER DEMAND U/S.201(1A) BY PASSING SUBSEQUENT ORDERS UNDER THE SAME PROVISIONS. THE LEARNED DR ON THE OTHER HAND CONTENDED THAT THERE IS NO DISPUTE TO THE FACT THAT THERE WAS DELAY IN DEPOSITS OF TDS AS ALLEGED BY THE AUTHORITIES BELOW IN BOTH THE AYS WHICH THE LEARNED AR OF THE ASSESSEE ALSO DID NOT DISPUTE . THER EFORE ON CE THE DELAY IN DEPOSITING THE TDS DEDUCTED FROM VARIOUS PAYMENTS IS ESTABLISHED BEYOND DOUBT AS ALSO IT IS AN ADMITTED FACT IN THE PRESENT CASE ON HAND THE ASSESSEE IS CERTAINLY LIABLE TO BE VISITED WITH CONSEQUENCE AS PROVIDED UNDER LAW I.E. CHARGING OF INTEREST OF INTEREST U/S.201(1A) ON THE TDS AMOUNT DEPOSITED BEYOND THE DUE DATE WHICH THE LEARNED ACIT(TDS) HAS CORRECTLY DONE IN THE PRESENT CASE . THE LEARNED DR FURTHER CONTENDED THAT M AY IT BE TRUE THAT ORDERS U/S.201(1A) WERE ONCE PASSED EARLIER BUT THE ALLEGED DEFAULT FOR THE AMOUNTS MENTIONED IN THE IMPUGNED ORDERS WAS ADMITTEDLY NOT THE SUBJECT MATTER OF THOSE ORDERS. THEREFORE FOR THE DEFAULT AS NOW ALLEGED IN THE IMPUGNED ORDERS WHEN THE ASSESSEE IS LIABLE TO PAY INTEREST U/S.201(1A ) OF THE ACT WHICH IS AUTOMATIC THE LEARNED ACIT(TDS) HAS CORRECTLY LEVIED INTEREST U/S.201(1A) OF THE ACT AND THE LEARNED CIT(A) HAS RIGHTLY CONFIRMED THE SAME. 4. AFTER HEARING BOTH PARTIES AND PERUSING THE MATERIAL AVAILABLE ON RECORD WE FIND SUFFICI ENT FORCE IN THE CONTENTION OF THE LEARNED DR THAT ONCE DEFAULT IN DEPOSITING THE TDS IN TIME IS ESTABLISHED THE ASSESSEE IS LIABLE FOR INTEREST U/S.201(1A). IT IS ALSO NOT THE CASE OF THE ASSESSEE THAT INTEREST U/S.201(1A) HAD BEEN CHARGED EARLIER ON TH E DEFAULT AS ALLEGED IN THE IMPUGNED ORDERS. THEREFORE WE DO NOT FIND ANY MERIT IN THE CONTENTION OF THE LEARNED AR OF THE ASSESSEE AND AS SUCH WE CONFIRM THE ORDER OF THE LEARNED CIT(A) IN CONFIRMING THE LEVY OF INTEREST U/S.201(1A) FOR BOTH THE AYS UNDER CONSIDERATION. I.T.A.NO.252 AND 253/CTK/2010 3 5 . IN THE RESULT BOTH THE APPEALS OF THE ASSESSEE ARE DISMISSED. THIS ORDER IS PRONOUNCED IN OPEN COURT ON DT. 25 TH FEBRUARY 2011 SD/ - SD/ - ( . . . ) ( K.S.S.PRASAD RAO) JUD ICIAL MEMBER ( . . ) (K.K.GUPTA) ACCOUNTANT MEMBER. ( ) DATE: 25 TH FEBRUARY 2011 - COPY OF THE ORDER FORW ARDED TO: 1 . / THE APPELLANT : KALINGA INSTITUTE OF INDUSTRIAL TECHNOLOGY PLOT NO.383 384 PATIA BHUBANESWAR 751 024 ORISSA. 2 / THE RESPONDENT: ASST. COMMISSIONER OF INCOME - TAX (TDS) BHUBANESWAR. 3 . / THE CIT 4 . ( )/ THE CIT(A) 5 . / DR CUTTACK BENCH 6 . GUARD FILE . / TRUE COPY / BY ORDER [ ] SENIOR PRIVATE SECRETAR Y ( ) ( H.K.PADHEE ) SENIOR.PRIVATE SECRETARY.