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TMI Blog2019 (1) TMI 1064X X X X Extracts X X X X X X X X Extracts X X X X ..... nd dismiss the appeal filed by the revenue - Decided in favour of assessee. - ITA No. 492/VIZ/2018 - - - Dated:- 18-1-2019 - SHRI V. DURGA RAO, HON BLE JUDICIAL MEMBER AND SHRI D.S. SUNDER SINGH, HON BLE ACCOUNTANT MEMBER For The Assessee : Shri I. Kama Sastry FCA For The Department : Smt. Suman Malik Sr. DR ORDER PER V. DURGA RAO, JUDICIAL MEMBER This appeal by the Revenue is directed against the order of Commissioner of Income Tax (Appeals)-10, Hyderabad, dated 26/06/2018 for the Assessment Year 2013-14. 2. There is a delay of 18 days in filing this appeal. The Revenue has filed a petition along with an affidavit wherein explained the reasons for non-filing the appeal in time. We have gone throu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... il and prayed that same may be followed. 6. Ld. Departmental Representative has relied on the order passed by the Assessing Officer. 7. We have heard both the sides, perused the material available on record and orders of the authorities below. 8. The only issue involved in this appeal is whether the contribution received from the employees paid before due date of filing of the return, is allowable or not. This issue has already been considered by the ITAT, Visakhapatnam Bench in the case of M/s.Eastern Power Distribution Company of A.P. Ltd. (supra) and held as under:- 5. We have heard both the parties, perused the materials available on record and gone through the orders of the authorities below. The A.O. made additions towar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fore the due date prescribed for filing of income tax return in the light of the provisions contained in section 36(1)(va) of the Act and section 43B(b) of the Act. It is the contention of the assessee that there is no distinction between employer and employee contribution after omission of second proviso of section 43B of the Act by Finance Act, 2003 w.e.f. 1.4.2004. We find force in the arguments of the assessee for the reason that there is no difference between employees and employer contribution under the PF Act. Section 6 of Provident Fund Act provides for contribution and the manner in which such contribution shall be made. Paragraph 30 of the PF Scheme provides for payment of contributions. As per the said scheme, the employer at the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s to be allowed only on actual payment basis. Sub clause (b) of section 43B of the Act covers any sum payable by the assessee as an employer by way of contribution to any Provident fund or superannuation fund or gratuity fund or any other fund for the welfare of the employees. The proviso to section provides that any sum paid by the assessee on or before the due date of furnishing return of income u/s 139(1) of the Act, then no disallowance can be made under the provisions of section 43B of the Act. A careful consideration of section 43B of the Act, it is clear that an extension is granted to the assessee to make the payment of PF contributions or any other fund till the due date of furnishing return of income u/s 139(1) of the Act. Therefo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut before due date of filing of return no disallowance could be made in view of the provisions of section 43B of the Act. In the case of CIT Vs. Udaipur Dugdh Utpadak Sahakari Sangh Ltd. 35 Taxman 616, the Hon ble High Court of Rajasthan, after referring to the apex court decision in the case of CIT Vs. Alom Extrusions Ltd. 319 ITR 306 CIT Vs. Vinay Cement Ltd. held that the deductions should be allowed for the payment of employees contribution made before the due date of filing of return. Similarly, in the case of CIT Vs. State Bank of Bikaner, the Hon ble Rajasthan High Court held that contribution paid after the due date under the respective Act, but before filing the return of income u/s 139(1) of the Act cannot be disallowed u/s 43B ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e is no distinction between employees and employer contribution to PF, and if the total contribution is deposited on or before the due date of furnishing return of income u/s 139(1) of the Act, then no disallowance can be made towards employees contribution to provident fund. The CIT(A) after considering the relevant details rightly deleted the additions made by the A.O. We do not see any reasons to interfere with the order of the CIT(A). Hence, we inclined to uphold the CIT(A) order and dismiss the appeal filed by the revenue. 8. Therefore, respectfully following the decision of the coordinate bench of the tribunal in M/s. Eastern Power Distribution Company of A.P. Ltd. (supra), we find no reason to interfere with the order passed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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