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2021 (12) TMI 695 - AT - Income TaxLevy of late fee u/s. 234E - Fee for default in furnishing statements - delay in filing statement of TDS within the prescribed time - conflicting views - HELD THAT:- It is not in dispute that if the ratio laid down in the case of Fateeraj Singhvi [2016 (9) TMI 964 - KARNATAKA HIGH COURT] is applied then the levy of interest u/s.234-E of the Act would be illegal for returns of TDS in respect of the period prior to 1.6.2015. The present appeals of the Assessee relate to TDS returns filed prior to 1.6.2015 and therefore levy of interest u/s.234E of the Act would not be valid, following the ratio laid down by the Hon’ble Karnataka High Court. The Hon’ble Bombay High Court in the case of Subramaniam -vs.- Siemens India Ltd.[1983 (4) TMI 3 - BOMBAY HIGH COURT ] held that in the case where there is conflict of views between different High Courts, authorities must follow the decision of the High Court within whose jurisdiction he is functioning. The Court further added that in cases where there is a conflict between the decisions of non-jurisdictional High Courts, the ITO must take the view which is in favour of the assessee and not against him. Relief should not be refused to the taxpayer merely because there was a conflicting decision of a non-jurisdictional high court - we are of the view that the levy of interest u/s.234E of the Act in the present case cannot be sustained and the same is directed to be deleted and the appeals of the Assessee are allowed.
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