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TMI Blog2023 (7) TMI 984X X X X Extracts X X X X X X X X Extracts X X X X ..... time limit within which, such declaration is to be filed by the buyer. However time limit is prescribed in Rule 37C of the I.T. Rules. Hon ble Gujarat High Court in the case of CIT (TDS) Vs. Siyaram Metal Udyog Pvt. Ltd. [ 2016 (7) TMI 68 - GUJARAT HIGH COURT] held that when there was no dispute about the declaration being filed in prescribed Form 27C and there was no dispute about the genuineness of such declaration, mere minor delay in filing the said declaration would not defeat the very claim made by the assessee and thereby dismissed the Revenue appeal. Thus we hereby set aside the orders passed by the Lower Authorities for the reason, the A.O. failed to verify the Form 27C though the assessee submitted belatedly and the Ld. A.O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led statement in Form 27EQ. 2.2. The assessee replied about the belated filing of Form 27C in the Office of Commissioner of Income Tax, Jamnagar and therefore requested not to treat him as the assessee in default and not to levy tax and the interest thereon. However the Assessing Officer considered the above reply and held that the assessee filed Form 27C on 01-09-2015 which is long after the time limit prescribed in Rule 37(3) of the Income Tax Rules. Further the assessee ought to have submitted the Form 27C to CIT (TDS) at Ahmedabad, who is the prescribed Authority. Therefore the late filing of Form 27C looses its sanctity and judicial stand, thus the assessee was treated as a defaulter and thereby determined tax of Rs. 4,28,432/- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s nos. 8 to 115 of the Paper Book and various case laws in support of his claim and prayed that the tax and interest levied u/s. 206C is liable to be deleted, since there is no time limit prescribed in Section 206C(1A) of the Act for filing the declaration in Form 27C and relied upon Gujarat High Court judgment in the case of CIT -V- Siyaram Metal Udyog Pvt. Ltd. 5. Per contra, the Ld. Sr. D.R. Shri B.D. Gupta appearing for the Revenue submitted that the assessee though filed Form 27C belatedly it was filed before Ld. CIT, Jamnagar which ought to have been filed before CIT (TDS), Ahmedabad who is the competent Authority. Thus the late filing of Form 27C not within the provisions of Act, therefore the Lower Authorities are correct in levy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... st produce, scrap, etc. alcoholic Subsection 1 of section 206C provides that every person being a seller shall at the time of debiting of the amount payable by the buyer collect from the buyer of any of the goods specified in column (2) of the table, a sum equal to the percentage specified in the corresponding entry of the table as income tax. Clause (aa) of the explanation to section 206C, inter alia, provides that buyer with respect to sub-section (1) means a person who obtains in sale by way of auction, tender or any other mode, goods of the nature specified in the table or the right to receive any such goods but does not include a buyer in the retail sale of such goods purchased by him for personal consumption. 7. In the context of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... section itself does not provide for any time limit within which, such declaration is to be made. The time limit, of course, would be found in Rule 37C of Income Tax Rules, 1962. The main thrust of sub-section 1A of section 206C thus is to make a declaration as prescribed, upon which, the liability to collect tax at source under sub-section (1) would not apply. When there was no dispute about such a declaration being filed in a prescribed format and there was no dispute about the genuineness of such declaration, mere minor delay in filing the said declaration would not defeat the very claim. The Tribunal therefore, viewed such delay liberally and in essence held that there was substantial compliance with the requirement of filing the declara ..... X X X X Extracts X X X X X X X X Extracts X X X X
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