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2021 (6) TMI 1118 - ITAT HYDERABADDelayed payment/contribution of employees’ share made to the PF & ESI authority - scope of amendment - HELD THAT:- We notice in the factual backdrop that the legislature has not only incorporated necessary amendment in Sections 36(va) as well as 43B vide Finance Act, 2021 to this effect but also the CBDT has issued Memorandum of Explanation that the same applies w.e.f. 1.4.2021 only. It is further not an issue that the foregoing legislative amendments have proposed employers’ contribution/ disallowance u/s 43B as against employee’s contribution u/s 36 (va) of the Act; respectively. However, keeping in mind the fact that the same has been clarified to be applicable only with prospective effect from 1.4.2021, we hold that the impugned disallowance is not sustainable. See M/S MERCHEM LIMITED [2015 (9) TMI 560 - KERALA HIGH COURT], GUJARAT STATE ROAD TRANSPORT CORPORATION [2014 (1) TMI 502 - GUJARAT HIGH COURT], GTN. TEXTILES LTD. [2002 (10) TMI 9 - KERALA HIGH COURT], SOUTH INDIA CORPORATION LTD. [1999 (10) TMI 44 - KERALA HIGH COURT] and JAIRAM AND SONS. [2003 (10) TMI 16 - KERALA HIGH COURT] The impugned ESI/PF disallowance is directed to be deleted therefore. - Decided in favour of assessee.
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