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2019 (6) TMI 1482 - ITAT MUMBAIInterest liability u/s 201(1A) - interest on short deduction of TDS u/s 201(1A) - HELD THAT:- On a perusal of Sec.201(1A), it can safely be gathered that in case of short deduction of tax at source, the levy of interest under the said statutory provision is to be reckoned from the date on which such tax was deducted, till the date on which such tax is actually paid. Apart there from, we find that the aforesaid issue is no more res-integra in light of the judgment of the Hon’ble Supreme Court in the case of Hindustan Coca Cola Beverages (P) Ltd. Vs. CIT 2007 (8) TMI 12 - SUPREME COURT as observed that liability to charge interest under Sec.201(1A) continues till the date of payment of taxes by the deductee. Accordingly, on the basis of our aforesaid observations, we are of the considered view that the levy of interest under Sec.201(1A) by the A.O in the case before us is to be reckoned till the date of the payment of such tax by the deductee, and not up to the date of filing of the return of income by the latter. The matter is restored to the file of the A.O, with a direction to re-determine the interest liability of the assessee under Sec.201(1A) of the Act in terms of our aforesaid observations. The Ground of appeal No. 1 raised by the assessee is allowed. Levy of fees under Sec.234E - case of the assessee before us, that as the TDS statement is for the period prior to 01.06.2015, hence no late fees could have been charged for the said period while furnishing the statement under Sec.200A - HELD THAT:- In the case of M/s GNA Udyog Ltd. Vs. ACIT [2019 (1) TMI 1757 - ITAT AMRITSAR] considering the judgment of Fatheraj Singhavi Vs. Union of India 2016 (9) TMI 964 - KARNATAKA HIGH COURT had concluded, that levy of fees under Sec.234E could not be made in purported exercise of power under Sec.200A by the revenue, for the period of the assessment year prior to 01.06.2015. Apart there from, we find that a similar view had also been taken by the ITAT, Agra Bench, Agra in the case of M/s Yasoda Grah Nirman Sahkari Sanstha Maryadit 2018 (5) TMI 1643 - ITAT AGRA Accordingly, in terms of our aforesaid observations, we are of the considered view that the CIT(A) had erred in upholding the levy of fees under Sec.234E in the case of the present assessee. The Ground of appeal No. 2 raised by the assessee is allowed.
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