TMI Blog2019 (4) TMI 554X X X X Extracts X X X X X X X X Extracts X X X X ..... . Rule 8D - no interest income earned by the assessee - HELD THAT:- This is a settled principle of law that when there is no exempt income available with the assessee disallowance u/s.14A r.w Rule 8D cannot be higher than the dividend income earned by the assessee while laying down the ratio the Jurisdictional High Court in the matter of Corretech Energy Pvt; Ltd. [2014 (3) TMI 856 - GUJARAT HIGH COURT] further held that if there is no tax free income in the hands of the assessee, then no disallowance under section 14A r.w. rule 8D of Income Tax Rules ought to be made. We restrict the disallowance to the dividend amount of ₹ 10,600/-. Thus the assessee appeal is partly allowed. - ITA No.2719/Ahd/2016 - - - Dated:- 29-3-2019 - Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 015 was served due to the change of incumbent. 4. The first ground relates to addition on account of late payment of ESIC and PF contribution. 4.1 During the course of assessment proceeding it appears from the documents submitted by the assessee that the payment regarding ESIC and PF contribution received from the employees was not made to the Government account within the due date. The details whereof is evident at page 3 of the Assessment Order before us. It is relevant to mention that as per the provision of section 36(1)(va) r.w.s 2(24)(x)of the I.T Act, 1961 the assessee was required to deposit such PF and ESIC contribution on or before 15 to 21st of the following month respectively. Since the assessee did not deposit the amount ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of his employees to which the provisions of section 2(24)(x) applies, would be deducted as long as such sum is credited by the assessee to the employee's account in the relevant funds on or before due date. Explanation to the said sub-section provides that for the purpose of the said clause, due date means a date by which the assessee is required as an employer to credit an employee's contribution to the account in which relevant fund under any Act, rule, order or notification issued thereunder or under any standing order, award, contract of service or otherwise. section 38 of the Employees Provident Funds and Miscellaneous Provisions Act, 1952, becomes relevant. Sub-section (1) thereof reads as under: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s to be deposited with the Government within fifteen days of the close of every month. Reference to fifteen days of the close of the month must be in relation to the month during which the payment of wages is to be made and corresponding liability to deduct employee's contribution to the fund arises. The expression within fifteen days of the close of every month therefore must be interpreted as having reference to the close of the month, for which, the wages are required to be paid with corresponding duty to deduct employee's contribution and to deposit the same in the fund. 6. Learned counsel for the appellant is therefore not correct in contending that if such wages are paid in the following month, the liability to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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