Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (7) TMI 359 - AT - Income TaxDouble disallowance on account of Provident Fund contribution - appellant claimed that it had already disallowed ₹ 34,43,868/- in original return filed but Assessing Officer again made disallowance resulting in double disallowance - Held that:- In the instant case, the CIT(A) vide its order had deleted the disallowance of ₹ 18,88,427/- out of total disallowance of ₹ 36,10,361/-. The AO gave effect of the aforesaid order of the CIT(A) vide order dated 20.10.2010. A perusal of the said order shows that though the AO deleted disallowance of ₹ 18,88,427/- but his order is silent in respect of direction of the CIT(A) to verify the fact whether there was double addition to the extent of ₹ 34,43,868/-, and if found to be correct, then the delete the disallowance of ₹ 34,43,868/-. Thus, such a non-speaking order passed by the AO while giving effect to the order of the CIT(A) is bad in law, and unsustainable. We, therefore, set aside the orders of the orders of the lower authorities on this issue and remit back the matter to the file of the AO with the same directions as given by the CIT(A) vide its order dated 31.8.2010 quoted above in the order. The AO is directed to pass a speaking order on this issue - Decided in favour of assessee for statistical purposes. Charging interest under section 234A - Held that:- In order under section 143(3) r.w.s. section 147 the AO inter alia ordered for charging interest under section 234A of the Act. Thus, the assessee was not correct in submitting that no interest under section 234A was originally levied by the AO, and the same was only levied for the first time in the order which was passed to grant effect to the order of the CIT(A). We, therefore, do not find any force in the ground of appeal, and accordingly, the same is dismissed.- Decided against assessee. Charging interest under section 234B - Held that:- Case of Freightship Consultants P. Ltd. Vs. ITO, (2007 (5) TMI 259 - ITAT DELHI-A) wherein it was held that it is mandatory for the AO to charge interest under section 234B of the Act and after the decision of the Tribunal, he was duty bound to increase or reduce the same as per the order of the Tribunal, the interest which he had charged while passing the assessment order and upto the date of the assessment order and not upto the date of the order passed by him in consequence of the order passed by the Tribunal. The order passed by the AO under section 254/154 of the Act charging interest under section 234B of the Act upto the date of the orders passed by him in consequence of the order of the Tribunal was against the provisions of the law. We, therefore, set aside the order of the lower authorities and direct the AO to charge interest under section 234B of the Act after giving effect to the order of the Tribunal till the date of the order of the original assessment. - Decided partly in favour of assessee.
|