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TMI Blog2008 (1) TMI 433X X X X Extracts X X X X X X X X Extracts X X X X ..... nce of PF and ESIC amounting to Rs. 3,66,842 and Rs. 72,015 respectively. The disallowance of PF and ESIC at Rs. 3,66,842 and Rs. 72,015 respectively is unfounded and uncalled for and extremely exorbitant." 4. The assessee had claimed deductions in respect of payments of PF and ESIC. The AO has examined the details furnished by the assessee and found that following payments were made beyond the date and even after the grace period of 5 days allowed by the PF Department: PF ------------------------------------------------------------- Month Total amount of Due date of Date of payments employees as well payments as of employer's contribution ------------------------ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ting to ESIC contributions. 5. The disallowance was upheld by the learned CIT(A). 6. Before us the learned counsel for the assessee submitted that the issue stands covered by the decision of Tribunal Delhi Bench 'D' dt, 1st June, 2007 rendered in ITA No. 286/Del/2005 in the case of M/s Peeson Corporation Ltd. and also by the decision of Hon'ble Delhi High Court in the case of CIT vs. Dharmendra Sharma (2007) 213 CTR 609 (Del). It was clarified by the learned counsel appearing on behalf of the assessee that all the payments were made before the due date for filing of the return. 7. We have carefully considered the entire material on record and the rival submissions. In the case of M/s Peeson Corporation Ltd., Delhi Bench 'D' of Tribuna ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ourt in the case of CIT vs. Vinay Cement Ltd. (2007) 213 CTR (SC) 268. it was held by the Hon'ble Delhi High that the assessee was entitled to claim the benefit provided under s. 43B of the Act for period prior to the amendment of s. 43B of the Act if he had contributed to PF before the due date for filing of the return. 9. After considering the relevant material and the decisions referred to above, we direct the AO to allow the claim of the assessee under s. 43B, in relation to employers' contribution towards PF and ESIC, if on verification. it is found that the payment was made before the due date for filing the return under s. 139(1) for the relevant assessment year. So far as employees' contribution is concerned, it is not covered und ..... X X X X Extracts X X X X X X X X Extracts X X X X
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