20 [2019] 70 ITR (Trib.) 188 (Jaipur) Shri Uttam Chand Gangwal vs.
The Asst. CIT, CPC (TDS), Ghaziabad ITA No. 764/JP/2017 A.Y.: 2015-16 Date of order: 23rd
January, 2019
Section
234E – In case of default in filing TDS statement for a period beyond 1st
June, 2015, fees u/s. 234E cannot be levied for the period before 1st
June, 2015
FACTS
The assessee filed TDS statement in Form 26Q for Q4 of
F.Y. 2014-15 on 22nd July, 2015 for which the due date was 15th
May, 2015. The TDS statement was processed and the ACIT, TDS issued an
intimation dated 30th July, 2015 u/s. 200A of the Act imposing a
late fee of Rs. 13,600 u/s. 234E of the Act for the delay in filing the TDS
statement. On appeal, the Learned CIT(A) confirmed the said levy. The assessee
therefore filed an appeal to the Tribunal.
HELD
The Tribunal observed that though the quarterly statement
pertains to the quarter ended 31st March, 2015, the fact remains
that there is a continuing default even after 1st June, 2015 and the
statement was actually filed on 22nd July, 2015. It further observed
that an assessee who belatedly filed the TDS statement even though pertaining
to the period prior to 1st June, 2015 cannot be absolved from levy
of late fee when there is a continuous default on his part even after that
date. The Tribunal, therefore, concluded that, irrespective of the period to
which the quarterly statement pertains, where the statement is filed after 1st
June, 2015, the AO can levy fee u/s. 234E of the Act.
At the same time, in terms of determining the period for
which fees can be levied, the only saving could be that for the period of delay
falling prior to 1st June, 2015, there could not be any levy of fees
as the assumption of jurisdiction to levy such fees has been held by the Courts
to be prospective in nature. However, where the delay continues beyond 1st
June, 2015, the AO is well within his jurisdiction to levy fees u/s. 234E for
the period starting 1st June, 2015 to the date of actual filing of
the TDS statement. In the result, the Tribunal partly allowed the assessee’s
appeal by deleting fees for the period prior to 1st June, 2015 and
confirmed the fees levied for the subsequent period.
