Assessee made payment towards employee’s contribution towards EPF and ESI with a one day delay. Assessing Officer disallowed same on ground that deposit of contribution was made beyond stipulated period prescribed in respective Acts. Tribunal held that due date for depositing contribution of ESIC & EPF fell on Sunday or gazetted holiday and assessee had made payment on very next day. Disallowance is deleted. (AY. 2019-20)
G.D. Foods and Manufacturing (India) (P.) Ltd. v. ADIT (2023) 202 ITD 116 (Delhi) (Trib.)
S. 36(1)(va) : Any sum received from employees-Sunday or gazeted holiday-Payment was made on next working day-Allowed as deduction. [S.43B, 139(1)]