ITAT justified levy of sec. 234E fee in respect of each purchased flat as assessee failed to file Form 26QB

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ITAT justified levy of sec. 234E fee in respect of each purchased flat as assessee failed to file Form 26QB
Cornerview Construction & Developers (P.) Ltd.
[2019] 109 taxmann.com 68 (Mumbai – Trib.)
Where assessee purchased 96 flats and made payments towards same after deducting tax at source under section 194IA, since assessee itself had filed separate TDS statements under section 200(3) in Form 26QB in respect of TDS deducted in respect of every individual transaction relating to purchase of each flat, Assessing Officer was justified in levying fee under section 234E on account of delay in filing statements in respect of each flat, while processing such statements under section 200A
Section 234E, read with sections 194-IA and 200, of the Income-tax Act, 1961
– Fees – For defaults in furnishing statements
– Assessment year 2016-17 – Assessee company, engaged in business of real estate construction and development, purchased 96 flats vide allotment for consideration of certain amount – Assessee made payment towards said purchase after deducting tax at source under section 194IB
 – TDS amount was deposited in Government account and upon such payment challan-cum-statements as required under section 200(3) was generated in Form no. 26QB
– While processing such statements under section 200A, Assessing Officer noted that assessee had not filed TDS statements in Form no. 26QB within time prescribed under statute and, thus, levied fee under section 234E in respect of each TDS statement filed by assessee in respect of each flat – Assessee contended that since transactions related to purchase of flats was by virtue of a single allotment letter, it should be treated as a single transaction and levy of fee under section 234E should be restricted to one challan-cum-statement of TDS
 – It was noted that assessee had computed and deposited TDS amount on basis of cost of each flat
 – Whether since assessee itself had filed separate TDS statements under section 200(3) in Form 26QB in respect of TDS deducted in respect of every individual transaction relating to purchase of each flat, Assessing Officer was justified in levying fee under section 234E taking into account delay in filing statements in respect of each flat – Held, yes

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