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TMI Blog2015 (6) TMI 489X X X X Extracts X X X X X X X X Extracts X X X X ..... - made by the Assessing Officer on account of late deposit of employee's contribution towards provident fund in view of the provisions of section 2(24)(x) read with section 36(1)(va) of the Income tax Act, 1961. 11. On the facts and in the circumstance of the case, the CIT(A) has erred in deleting the addition of Rs. 84,076/- made by the Assessing Officer on account of late deposit of employee's contribution towards ESI in view of the provisions of section 2(24)(x) read with section 36(1 )(va) of the Income Tax Act, 1961." 3. Apropos deletion of addition of Rs. 32,29,938/- on account of late deposit of employees contribution towards provident fund and deletion of addition of Rs. 84,076/- on account of late deposit of ESI. 4. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aid 32,29,938 6. And the AO observed that assessee had made later deposit of employee's contribution towards ESI Month Amount Due date of deposit Date of deposit Apr-01 28,057 21.05.01 24.05.01 Aug-01 27,773 21.09.01 01.01.02 Sep-01 28,246 21.10.01 24.10.01 84,076 7. After observing, that assessee had not deposited the employees contribution towards provident fund and ESI before due date as given above, he held as under:- "The employee's contribution to the provident fund is allowable deduction u/s 36(1) (Va) only if the payment is made on or before the due date prescribed in the statute. The due date for the posting the employees contribution to provident ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... peal of the assessee. 10. Now the Revenue is in appeal before us. 11. We have heard both the parties and have perused the records of the case and we find that in the assessment order AO has categorically stated the amount due for which month in respect of EPF and ESI deposits and has stated the due dates for these deposits to have been deposited and on which date actually these deposits were made by the assessee. The dates of deposits are mentioned between 05th July 2001 to 26th April 2002. We find that the latest payment is made on 26th April 2002 and assessee being a limited company had filed its return on 20th October, 2002, so the assesse had deposited the amount before the due date of filing of the return. Thus, it is clear beyond do ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 11. The ld AR relied on the decision of the Hon'ble Delhi High Court in the case of CIT Vs. Aimil Limited, reported in 321 ITR 508, wherein the Hon'ble High Court has held as under:- "17. We may only add that if the employees' contribution is not deposited by the due date prescribed under the relevant Acts and is deposited late, the employer not only pays interest on delayed payment but can incur penalties also, for which specific provisions are made in the Provident Fund Act as well as the ESI Act. Therefore, the Act permits the employer to make the deposit with some delays, subject to the aforesaid consequences. Insofar as the Income Tax Act is concerned, the assessee can get the benefit if the actual payment is made before the ret ..... X X X X Extracts X X X X X X X X Extracts X X X X
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