Pr. Commissioner Of Income Tax, Jaipur-Ii, Jaipur v. M/S. Rajasthan Ex Servicemen Corporation Ltd., P

HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH ATJAIPUR D.B. Income Tax Appeal No. 7 / 2018 Pr. Commissioner of Income Tax, Jaipur-II, Jaipur ----Appellant Versus M/s. Rajasthan EX Servicemen Corporation Ltd., P-8, Sector-2, Vidhadhar Nagar, Jaipur ----Respondent _____________________________________________________ For Appellant(s) : Mr. Prabhansh Sharma for Mr. R.B. Mathur _____________________________________________________ HON'BLE MR. JUSTICE K.S.JHAVERIHON'BLE MR. JUSTICE VIJAY KUMAR VYASJudgment 15/02/2018 1.By way of this appeal, the appellant has assailed thejudgment and order of the tribunal whereby the tribunal hasdismissed the appeal of the department and confirmed the orderof CIT(A). 2.Counsel for the appellant has framed following substantialquestions of law:- “i) Whether in the facts andcircumstances of the case and in law theITAT was justified in deleting the additionof Rs.66027182/- made for depositingthe employees’ contribution to PF & ESIbeyond the prescribed time limitprovided in the respective Acts. ii) Whether in the facts andcircumstances of the case and in law theITAT was justified in holding thatemployees’ contribution to PF & ESIgoverned by the provision of section 43Band not by section 36(1)(va) r.w.s. 2(24)(x) of the IT Act.” 3.The facts of the case are that the case of the assessee waspicked up for scrutiny assessment and the assessment u/s 143(3)of the Income Tax Act, 1961 (hereinafter referred to as the Act)was framed vide order dated 22/11/2016. While framing theassessment the Assessing Officer noticed that the assessee hasdeposited employees contribution towards PF and ESI after duedate of payment. Therefore, he made disallowance ofRs.6,60,27,182/-. Aggrieved by this, the assessee preferred anappeal before Ld. CIT(A), who after considering the submissionsand relying upon the judgment of the Rajasthan High Court in thecase of CIT Vs. State Bank of Bikaner & Jaipur (2014) 99 DTR 131(Raj.) deleted the disallowance. 4.Regarding both the issues relating to PF & ESI, thecontroversy is pending before the Supreme Court in SLPNo.16249/2014 (The State of Rajasthan CIT, Jaipur vs. M/s. StateBank of Bikaner and Jaipur), hence, the issues are decided subjectto SLP. 5.In that view of the matter, no substantial question of lawarises. 6.The appeal stands dismissed. (VIJAY KUMAR VYAS)J. (K.S.JHAVERI)J. Brijesh 12.