9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (12) TMI 1213 - AT - Income TaxLate fee charged u/s 234E - time limit defined under rule 31A read with section 200(3) - Delay filling quarterly TDS statements - HELD THAT - After hearing the Ld. DR, perusal of records and the impugned order, it is noted that by Board's Notification in 35/2020 dated 24-06-2020, the time limit for filing of 4th quarter TDS statements was extended only upto 31-07-2020 in view of COVID situation. Admittedly, it is not disputed that the CPC(TDS) had levied this fees for the delay beyond 31-07- 2020 only. CIT(A) has been justified in not accepting the argument that she was not a person responsible for deduction of tax. As per the provisions of sec 200(3), any person deducting tax in accordance with provisions of Chapter-XVII, shall after paying the tax deducted to the credit of the Central Government, required to submit the TDS statement within prescribed time. Thus, the appellant having deducted the tax has the obligation to file the quarterly TDS statements within the prescribed time limit which she failed to fulfill by filing the such statement with some delay as above. Therefore, CIT(A) was justified in confirming the finding of the CPC(TDS) in levying late fee u/s 234E as per law. Assessee s appeal is dismissed.
Issues:
Charging of late fee u/s 234E of the Act amounting to Rs. 30,600/- Analysis: The appellant contested the levy of penalty u/s 234E, arguing that late fees were not chargeable and that the time limit defined under rule 31A read with section 200(3) of the Act was not violated. The appellant pleaded for deletion of the late fee levied u/s 234E. However, the ld. CIT (A) upheld the penalty, emphasizing that the levy of the fee is mandatory if the statement is not delivered within the prescribed time under section 200(3). The CIT (A) dismissed the appellant's plea based on a bonafide belief about time limit extensions due to COVID-19, stating that the appellant, having deducted tax, was obligated to file the TDS statements within the prescribed time. The CIT (A) justified the late fee of Rs. 30,600/- imposed by the CPC(TDS). The appellant's argument was further examined, where it was noted that the time limit for filing the 4th quarter TDS statements was extended only up to 31-07-2020 due to COVID-19. The CPC(TDS) imposed the late fee for delays beyond this date. The contention that the appellant was not responsible for tax deduction was refuted, as per the provisions of sec 200(3), which require any person deducting tax to submit TDS statements within the prescribed time. The appellant's failure to file the statements within the time limit justified the imposition of the late fee by the CPC(TDS). The ld. CIT (A) was deemed correct in confirming the late fee of Rs. 30,600/- as per the law. In conclusion, the Tribunal found no merit in the appellant's grounds and rejected the appeal. The order pronounced on 17.11.2022 dismissed the appellant's appeal, upholding the levy of the late fee u/s 234E amounting to Rs. 30,600/-.
|
