TMI Blog2014 (7) TMI 477X X X X Extracts X X X X X X X X Extracts X X X X ..... od credited on or before the due date given in the relevant Act - the amendments introduced by the Finance Act, 2003 put on par the benefit of deductions of tax, duty, cess and fee on the one hand with contributions to various Employee’s Welfare Funds on the other. Relying upon Commissioner of Income Tax v/s Alom Extrusions Ltd. [2009 (11) TMI 27 - SUPREME COURT] - the amendments to the section brought about by the Finance Act, 2003 with effect from 1st April 2004 were retrospective in nature and would operate from 1st April 1988 – thus, the Tribunal was fully justified in deleting the addition on account of delayed payment of Provident Fund of employees' contribution – thus, no substantial question of law arises for consideration – Deci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Tribunal, in law, was right in allowing the claim of the Assessee on account of delayed payments of P.F. Of employees' contribution amounting to ₹ 1,82,77,138/- by relying on the decision of the Hon'ble Supreme Court in the case of CIT vs. Alom Extrusion Ltd. (319 ITR 306) ? (B) Whether on the facts and in the circumstances of the case, the Hon'ble Tribunal, in law, was right in deleting the disallowance of ₹ 10,00,300/- on bond registration charges and allowing the claim of the assessee u/s 37(1) of the I.T. Act 1961 ? 2. According to Mr Malhotra, the ITAT erred in dismissing the Appeal of the Revenue by upholding the order of the CIT (Appeals). With reference to the first question, the CIT (Appeals) held tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rder, the Assessee preferred an Appeal before the CIT (Appeals) who by his order dated 17th February 2010 partly allowed the Assessee's Appeal. With reference to the employees' contribution to P.F., the CIT (Appeals) directed the Assessing Officer to allow the deduction in respect of payments made within the grace period and disallow the payments made after the grace period. As regards bond registration charges, the CIT (Appeals) observed that this very issue was covered by the order in the Assessee's own case for Assessment Year 2003-04 wherein appeal orders for Assessment Years 1998-99, 2001-02 and 2002-03 were followed and accordingly deleted the disallowance towards the bond registration charges. Being dissatisfied with the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sh basis. This situation continued between 1st April 1984 and 1st April 1988 when Parliament again amended section 43B and inserted the first proviso thereto which inter alia laid down that in the context of any sum payable by the Assessee by way of tax, duty, cess or fee, if paid by the Assessee even after the closing of the accounting year but before the date of filing of the return of income, the Assessee would be entitled to the deduction under section 43B on actual payment basis and such deduction would be admissible for that accounting year. This proviso however did not apply to contributions made by the Assessees to the Labour Welfare Funds. In view thereof, by the Finance Act 1988, the second proviso came to be inserted which read a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from 1st April 2004, two changes were made in section 43B viz. deletion of the second proviso to section 43B and further amendment in the first proviso which reads as under:- Provided that nothing contained in this section shall apply in relation to any sum which is actually paid by the assessee on or before the due date applicable in his case for furnishing the return of income under subsection (1) of section 139 in respect of the previous year in which the liability to pay such sum was incurred as aforesaid and the evidence of such payment is furnished by the assessee along with such return. Therefore, the amendments introduced by the Finance Act, 2003 put on par the benefit of deductions of tax, duty, cess and fee on the one hand wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... so was also amended bringing about a uniformity in deductions claimed towards tax, duty, cess and fee on the one hand and contribution to the employees' provident fund, superannuation fund and other welfare funds on the other. These deductions being claimed in the return of income filed for the Assessment Year 2006-07, the amendments to Section 43B which came into force with effect from 1st April 2004 would have clearly applied to the Assessee's case. In this view of the matter also, we find that the ITAT was fully justified in deleting the addition of ₹ 1,82,77,138/- on account of delayed payment of provident fund of employees' contribution. 10. As far as the second question is concerned, we find that the CIT (Appeals) ..... X X X X Extracts X X X X X X X X Extracts X X X X
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