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2022 (9) TMI 718 - Income Tax
Levy of late fees u/s 234E - belated submission of Tax Deducted at Source statements for F.Y. 2012-13 - levying such late fee prior to 01-06-2015 - HELD THAT:- It is with effect from 01-06-2015 that an amendment was made to section 200A of the Act providing that fees u/s 234E could be computed at the time of processing of return of income and an intimation could be issued specifying the same payable by the deductor as fees u/s 234E of the Act.
Hon'ble Karnataka High Court in the case Fatheraj Singhvi Vs. Union of India [2016 (9) TMI 964 - KARNATAKA HIGH COURT] has held that the provisions of section 234E of the Act are substantive in nature and the mechanism for computing the late fee was provided by the Parliament only w.e.f. 01-06-2015. Therefore, late fees u/s 234E of the Act can be levied only prospectively w.e.f. 01-06-2015 and not prior to that . Admittedly in all the above three cases, the Revenue has levied such late fee u/s 234E for F.Y. 2012-13 prior to 01-06-2015 and hence, we set aside the concerned orders of the National Faceless Appeal Centre and direct the A.O to delete the late fee levied u/s 234E of the Act from the hands of the assessee.