9911796707
TMI Blog2025 (1) TMI 1348X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee in appeal has raised as many as six grounds of appeal. Ground no. 1 & 6 of appeal are general in nature, hence, require no adjudication. Ground no. 2 to 4 of appeal are in respect of single issue i.e. disallowance u/s. 43B of the Income Tax Act, 1961(hereinafter referred to as 'the Act') Rs. 3,55,01,693/- on account of GST payable. In Ground no. 5 of appeal the assessee has assailed disallowance of Rs. 5,68,496/- made in respect of late deposit of employees contribution towards Provident Fund. The ld. Counsel for the assessee made statement at the Bar that he has not pressing ground no. 5 of appeal. Thus, solitary issue for consideration before the Tribunal is disallowance made under the provisions of Section 43B of the Act. 3. Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t (I) P. Ltd., 2007 (9) TMI 238 (Delhi) decided on 10.09.2007; ii. CIT vs. Calibre Personnel Services P. Ltd., 2015 (2) TMI 587 (Bom.) decided on 02.02.2015; & iii. CIT vs. S & A Finman ltd., 2022 (12) TMI 691, ITAT Delhi decided on 14.12.2022. 3.1. The ld. Counsel for the assessee further submitted that no adjustment can be made u/s. 143(1) of the Act when issue is debatable. The disallowance made u/s. 43B of the Act on account of GST payable is not a prima facie adjustment; rather the same is a debatable issue since said amount was never routed through P&L account. One of the possible view is that since said amount was never routed through P&L account, therefore, how can same be added back in taxable income. To support his second con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ect of aforesaid amount u/s. 43B of the Act. Similar submission was made by the assessee before the CIT(A). We find that the fact the amount disallowed u/s. 43B of the Act has not been routed through P&L account is not rebutted by the Revenue. No contrary material has been placed before us, by the Revenue to show that the assessee has claimed deduction in respect of GST Rs. 3,55,01,693/-. The contention of the assessee that aforesaid amount has been reflected as GST payable under the head current liabilities is uncontroverted. The Hon'ble Delhi High Court in the case of CIT vs. Noble and Hewitt (I) P. Ltd. (supra) held that where the assessee has neither claimed deduction on account of Service Tax nor has debited the amount to Profit and Lo ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
