9911796707
TMI Blog2015 (9) TMI 1400X X X X Extracts X X X X X X X X Extracts X X X X ..... for the respondent ORDER Per Pramod Kumar AM: 1. By way of this appeal, the assessee appellant has challenged correctness of the order dated 12th November, 2014 passed by the ld. CIT(A) upholding levy of fees, under section 234E of the Income Tax Act, 1961 ( the Act hereinafter), on the assessee and by way of intimation dated 11.12.2013 issued under section 200A in respect of processing of TDS for the Assessment Year 2013-14. 2. The short grievance of the assessee is that in law and in facts and circumstances of the appellant s case, the learned Commissioner of Income Tax (Appeals) has grossly erred in confirming levy of fee u/s. 234E of the Income Tax Act ₹ 7,600/-. 3. We have heard the rival contentions, peru ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... understanding, this appeal requires adjudication on a very short legal issue, within a narrow compass of material facts, we are proceeding to dispose of this appeal on merits. 5. We may produce, for ready reference, section 234E of the Act, which was inserted by the Finance Act 2012 and was brought into effect from 1st July 2012. This statutory provision is as follows: 234E. Fee for defaults in furnishing statements (1) Without prejudice to the provisions of the Act, where a person fails to deliver or cause to be delivered a statement within the time prescribed in sub-section (3) of section 200 or the proviso to subsection (3) of section 206C, he shall be liable to pay, by way of fee, a sum of two hundred rupees for every day dur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the interest, if any, shall be computed on the basis of the sums deductible as computed in the statement; (c) the sum payable by, or the amount of refund due to, the deductor shall be determined after adjustment of amount computed under clause (b) against any amount paid under section 200 and section 201, and any amount paid otherwise by way of tax or interest; (d) an intimation shall be prepared or generated and sent to the deductor specifying the sum determined to be payable by, or the amount of refund due to, him under clause (c); and (e) the amount of refund due to the deductor in pursuance of the determination under clause (c) shall be granted to the deductor: Provided that no intimation under this sub-section shall be sent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 34E and any amount paid otherwise by way of tax or interest or fee; (e) an intimation shall be prepared or generated and sent to the deductor specifying the sum determined to be payable by, or the amount of refund due to, him under clause (d); and (f) the amount of refund due to the deductor in pursuance of the determination under clause (d) shall be granted to the deductor. 8. In effect thus, post 1st June 2015, in the course of processing of a TDS statement and issuance of intimation under section 200A in respect thereof, an adjustment could also be made in respect of the fee, if any, shall be computed in accordance with the provisions of section 234E . There is no dispute that what is impugned in appeal before us is the intimat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the levy of fees on the basis of the provisions of Section 234E. That is not the issue here. The issue is whether such a levy could be effected in the course of intimation under section 200A. The answer is clearly in negative. No other provision enabling a demand in respect of this levy has been pointed out to us and it is thus an admitted position that in the absence of the enabling provision under section 200A, no such levy could be effected. As intimation under section 200A, raising a demand or directing a refund to the tax deductor, can only be passed within one year from the end of the financial year within which the related TDS statement is filed, and as the related TDS statement was filed on 19th February 2014, such a levy could on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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