TMI Blog2021 (2) TMI 277X X X X Extracts X X X X X X X X Extracts X X X X ..... t in the case of CIT vs. Alom Extrusions Ltd. [ 2009 (11) TMI 27 - SUPREME COURT] is applicable to both the employer as well as employee's contribution to Provident Fund and ESI and if the assessee has not remitted the amount collected from the employees before the due date of filing of return of income U/s. 139(1) of the Act, then the same has to be disallowed and brought to tax. With these directions, the appeal of the assessee is allowed and the A.O. is further directed to reconsider the issue, if the contrary view is upheld by the Apex Court in the appeals before the Hon'ble Supreme Court on this issue. Assessee appeal is allowed for statistical purposes. - ITA No. 38/Hyd/2020 - - - Dated:- 2-2-2021 - P. Madhavi Devi , Memb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 39;ble Madras High Court in the case of Unifac Management Services (India) (P.) Ltd. vs. DCIT reported in [2018] 409 ITR 225 (Madras) to hold the issue against the assessee and he accordingly brought it to tax. Aggrieved, the assessee is in appeal before the Tribunal by raising the following grounds of appeal:- 1. Your appellant submits that the CIT(A) erred in law in confirming the addition made U/s. 36(1)(va) of the Income Tax Act, 1961 ignoring the submissions made by your appellant in response to the proposed adjustment notice. 2. Your appellant submits that the Ld. CIT(A) as well as CPC ought to have considered the reply filed by your appellant and ought not to have made the addition of ₹ 26,22,570/- being employees con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f cases have held that the said decision is applicable to the employee's contribution to Provident Fund and ESI as well. The Ld. DR, on the other hand, supported the order of the Ld. CIT(A) and the decisions relied upon by him. 5. Having regard to the rival contentions and the material available on record, I find that there is no decision of the Hon'ble Jurisdictional High Court on this issue and out of decisions of Thirteen High Courts, the decisions of ten High Courts are in favour of the assessee while the decisions of three High Courts are against the assessee. In some of the other High Courts, the issue has been decided both against the assessee as well as in favour of the assessee and therefore, this is a debatable issue at ..... X X X X Extracts X X X X X X X X Extracts X X X X
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