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2023 (9) TMI 908 - AT - Income TaxDelayed payment of employees’ contribution of PF & ESIC - same has been paid beyond the due date prescribed under the relevant Act - HELD THAT:- As payment shown at Sl. No.13 to 24 on account of depositing the employees’ contribution of ESIC fund on 17th of every month of 2017, which is prior to the due date for depositing the ESIC fund dated 12th of every month of 2017 for part amount. This fact is further corroborated from the challan verification form available at page 93 to 115 of the paper book. When the deduction otherwise available to the assessee on account of deposit of employees’ contribution of ESIC the same is liable to be allowed as there is no estoppel against the statute. In these circumstances, we partly set aside the impugned order passed by the Ld. CIT(A) to the extent of amount of Rs. 19,09,265/- deposited by the assessee on account of employees’ contribution of ESIC well before the due date prescribed under the relevant Act being not sustainable in the eyes of law. The remaining amount has been rightly disallowed by the AO/Ld. CIT(A) on account of late deposit of employees’ contribution of PF beyond the due date prescribed under the Act in accordance with the law laid down by the Hon’ble Supreme Court in case of Checkmate Services Pvt. Ltd. (2022 (10) TMI 617 - SUPREME COURT). So the AO shall allow the deduction claimed by the assessee qua deposit of employees’ contribution of ESIC well within the due date prescribed under the relevant Act after due verification as claimed under the audit report (supra). The remaining amount has been rightly disallowed by the AO/Ld. CIT(A) - Decided partly in favour of assessee.
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