TMI Blog2021 (7) TMI 1326X X X X Extracts X X X X X X X X Extracts X X X X ..... ot think that the legislative intent and objective is to treat belated payment of Employee's Provident Fund (EPD) and Employee's State Insurance Scheme (ESI) as deemed income of the employer under Section 2(24)(x) of the Act.- Decided in favour of assessee. - ITA No. 1600/Del/2020 - - - Dated:- 30-7-2021 - SHRI KUL BHARAT, JUDICIAL MEMBER For the Appellant : Sh. M.R.Sahu, CA For the Respondent : Sh.Gaurav Pundir, Sr. DR ORDER PER KUL BHARAT, JM: This appeal filed by the assessee for the assessment year 2018-19 is directed against the order of Ld. CIT(A), Delhi dated 20.08.2020. The assessee has raised following grounds of appeal:- 1. That CIT(A) erred in confirming the addition of ₹ 17,34,62 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Delhi Tribunal in the case of' Eagle Trans Shipping Logistics (India) Pvt Ltd Vs. ACIT (2019) 1781TD 849 (Del.Trib)' without appreciating the fact that ratio of decision in the case of 'CIT Vs. Bharat Hotels Ltd (supra) is not applicable to the facts of the assessee appellant's case. 5. That CIT(A) grossly erred in not appreciating the fact that disallowance of employees contribution to PF and ESI under section 36(1)(va) r.w.s 2(24)(x) when the amount was deposited before due date of filling return u/s 139(1) is not free from controversy as different High Courts across India have taken different views, thus erred in not applying the majority and favourable view opined by the High Courts in the assessee-appellant's cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Delhi High Court rendered in the case of CIT vs Bharat Hotels Ltd. [2019] 103 taxmann.com 295/ 410 ITR 417 (Delhi). He submitted that the Co-ordinate Bench of this Tribunal in the case of Azamgarh Steel Power Pvt. Ltd. vs CPC, Banglore in ITA no.1626/Del/2020 order dated 31.05.2021 following the decision of Tribunal in the case of DCIT vs Dee Development Engineers Ltd. in ITA No.4959/Del/2016 order dated 08.04.2021 decided the issue in favour of the assessee. He drew my attention to the decision of the Tribunal in ITA No.1626/Del/2020 in the case of Azamgarh Steel Power Pvt.Ltd. vs CPC order dated 31.05.2021 wherein Ld. Counsel for the assessee submitted that the Hon ble Jurisdictional High Court in the case of Bharat Hotels Ltd. (sup ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of DCIT vs Dee Development Engineers Ltd. (supra) and in the case of Azamgarh Steel Power Pvt.Ltd. vs CPC (supra) has followed the judgement of the Hon ble Delhi High Court in the case of Pr.CIT vs Pro Interactive Service (India) Pvt.Ltd. (supra). The Co-ordinate Bench of this Tribunal in the case of Azamgarh Steel Power Pvt.Ltd. vs CPC (supra) held as under:- 6. We have heard the rival submissions and perused the materials available on record. The issue in the present ground is with respect to disallowance of delayed deposit of contribution received by the employees' towards provident funds and ESI fund. It is an undisputed fact that there has been delay in the actual deposit of payment to the appropriate authority but at t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... do not think that the legislative intent and objective is to treat belated payment of Employee's Provident Fund (EPD) and Employee's State Insurance Scheme (ESI) as deemed income of the employer under Section 2(24)(x) of the Act. It is settled law that when two judgments are available giving different views then the judgment which is in favour of the assessee shall apply as held in case of Vegetable Products Ltd. 82 ITR 192 by the Hon'ble Supreme Court. Hence, in light of the latest decision in case of Pro Interactive Service (India) Pvt. Ltd., the issue is covered in favour of the assessee. Hence, Ground No. 1 is dismissed. 7. Before us, Revenue has not pointed to any distinguishing feature in the facts of the case of Dee D ..... X X X X Extracts X X X X X X X X Extracts X X X X
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