TMI Blog2024 (4) TMI 53X X X X Extracts X X X X X X X X Extracts X X X X ..... ckmate Services Pvt. Ltd [ 2022 (10) TMI 617 - SUPREME COURT] as held that the non-obstante clause has to be understood in the context of the entire provision of Section 43B which is to ensure timely payment before the returns are filed, of certain liabilities which are to be borne by the assessee in the form of tax, interest payment and other statutory liability. In the case of these liabilities, what constitutes the due date is defined by the statute. Once Hon ble Supreme Court has laid down a law as per Article 141 of the Constitution of India, it is law of the land. Therefore, the law declared by the Hon ble Supreme Court is applicable from the inception of the relevant provision. As decided in N. Kuppanna Gounder[ 1974 (8) TMI 96 - MAD ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erred in confirming the disallowance made by A.O. (CPC Bangalore) amounting to Rs. 1,48,006/- towards late deposit of employee welfare fund by misunderstanding actual legal position. 4. That the recent amendment in Union Budget 2021-22 completely disallowing the delay in depositing employee s contribution to employee welfare fund will be applied prospectively, hence will not affect the cases of earlier assessment year. 5. That the Learned CIT (Appeals) erred in not properly considered assesse submission and various supporting documents filed before him by the assesse. 6. The Assessee crave leave to urge additional ground and to alter or amend any grounds at the time of hearing if necessary. PRAYER : It is prayed that disallowance of Rs. 1, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ution towards ESI/PF was not made within due date and admitted in the Audit Report, cannot be said to be a mistake apparent from the record. Therefore, prima-facie the rectification application filed by the assessee was rightly rejected by the ACIT(CPC). 5. The Hon ble Supreme Court in the case of Checkmate Services Pvt. Ltd., vs. CIT Civil Appeal No. 2833 of 2016 had held as under: 54. In the opinion of this Court, the reasoning in the impugned judgment that the non-obstante clause would not in any manner dilute or override the employer s obligation to deposit the amounts retained by it or deducted by it from the employee s income, unless the condition that it is deposited on or before the due date, is correct and justified. The non-obstan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld not absolve the assessee from its liability to deposit the employee s contribution on or before the due date as a condition for deduction. 6. Once Hon ble Supreme Court has laid down a law as per Article 141 of the Constitution of India, it is law of the land. Therefore, the law declared by the Hon ble Supreme Court is applicable from the inception of the relevant provision. Hon ble Madaras High Court has held in Appellate Assistant Commissioner v. N. Kuppanna Gounder [1975] 35 S.T.C. 170 that when a law is declared it has effect not only from the date of the decision but also from the inception of the statutory provision. Thus, the law declared by Hon ble Supreme Court on the issue of allowability of Employee s Contribution is applicabl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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