This is an application u/s.12 of the C.P. Act, 1986.

          Complainant, being a retired person and a bona fide senior citizen a consumer to the OP, Postal Department has submitted that he is paying Income Tax regularly having his PAN No.ACNPD4646E and he is also the account holder of National Savings Scheme, 87 being account no.15526 with the OP and the scheme was opened on 12-02-1990 at Hatkhola Post Office being account no.1125419 and thereafter the said scheme was transferred to Ghughudanga Post Office on 21-06-2001 and maturity of the amount was Rs.1,29,205/- and after deduction of an amount of Rs.26,616/- as TDS an amount of Rs.1,02,589/- was transferred to the savings account of the complainant being no.582344 with Ghughudanga Post Office on 21-05-2012 and OP also issued TDS Certificate in Form 16A on 21-05-2012 to the complainant and after deduction the above TDS amount has not been deposited by the Ghughudanga Post Office in the Income Tax account of the complainant which has been informed by the Centralized Processing Centre of Income Tax Department, Bangalore on 17-10-2013 to the complainant.  Complainant sent the TDS certificate issued by the OP to the Income Tax Department through fax and, thereafter, the Income Tax Department sent an email clarifying the non-deposit of the TDS amount by the OP.

          Complainant at the time of submitting return of his Income Tax for assessment year 2013-14 having demand identification no. 2013201337031754770T the calculated that excess tax was deposited with the Income Tax Department after inclusion of the aforesaid amount of Rs.26,616/- deducted as TDS by the OP.  Therefore, the complainant claimed Rs.9,920/- as refund of excess paid tax from the Income Tax Department.  But the Income Tax Department without refunding the said amount, through letter dated 17-10-2013 claimed Rs.16,690/- as income tax from the complainant.  after searching the complainant came to know that the Postal Department’s non-payment of the TDS amount of Rs.26,616/- with the Income Tax Department an amount of Rs.16,690/- is payable to the Income Tax Department by the complainant.

          On receipt of the said letter, the complainant sent a letter dated 02-12-2013 to the OP which was received by the OP on 02-12-2013 and by that letter complainant requested the OP to deposit the TDS amount but the same has not been deposited till today.  Thereafter, complainant made several representations at the office of the OP for making payment of the TDS amount but none paid any heed to the requests of the complainant.

          Subsequently, complainant issued a legal notice dated 14-12-2013 through his Advocate to the OP to deposit the said amount of TDS of Rs.26,616/- within 7 days from the date of this notice and that notice was also received by the OP on 14-12-2013 but the OP neither took any step to redress the grievance of the complainant nor reply to the same. 

          Considering the fact of the OP it is found that OP has adopted unfair trade practice and act of the OPs is illegal and contrary to the law and for adopting such unfair trade practice practically complainant has suffered lot and for gross deficient and negligence on the part of the OP complainant is being harassed till now and in the circumstances complainant has prayed for proper redressal and for compensation.

          On the contrary, OP1 Post Master, Ghughudanga Post Office by filing written statement has submitted that the TDS of Rs.26,616/- was collected no doubt and Rs.1,02,589/- was transferred to the account of the complainant against SB A/c. No.582344 and said TDS was collected and forwarded to the Cossipore Head Post Office but Cossipore Head Post Office has no such infrastructure for uploading the TDS by a Private Franchise who was engaged on contract basis to upload the TDS Schedule to the Income tax Department quarter wise (April to June, July to September, October to December, January to March) annually and on successful completion of uploading the DATA quarter wise a TDS Certificate is issued by the TGRACES after comparing the amounts booked by the GM(PAF) with that upload by Cossipore Head Post Office and only after that Form 16A is generated from the system in the name of each TDS Deductee.

          The fact of non-receipt of Form 16A by the Depositor, Sri Pradip Kumar came to the notice of the Postmaster, Cossipore Head Post Office only on receipt of the letter of complaint dated 02-12-2013 and immediately the matter was taken up with the book section of GM(PAF) Kolkata and Income Tax Department, Middleton Row and it was ascertained that GM(PAF) office had erroneously uploaded the TDS amount of Cossipore Head Post Office as Zero amount for the month of April, 2012 instead of Rs.2,57,855/- = (TDS – Rs.2,48,157/- + SCSS TDS – Rs.9,698/-) and due to this mistake the figure was rejected by the concerned website of IT Department as the figure uploaded by Cossipore Head Post Office who deferred with that uploaded by the office of the GM(PAF) in the system and to reconcile the discrepancy in the system, the amount of TDS for the quarter was again uploaded by Cossipore Head Postr Office to match the figure duly booked by GM(PAF), Kolkata.  Being aggrieved of non-receipt of TDS Certificate, the complainant filed the instant case before the Ld. Forum however, the entire matter of uploading the pending TDS figures stood current and the Form 16A are being generated by this Head Post Office.  The complainant’s copy of Form 16A has also been generated and was despatched to the complaiinant’s address under Registered Post on 20-03-2014 vide Cossipore Head Post Office RL No.RW 478511607IN and the same was received by the complainant on 21-03-2014.  Further it is submitted that the allegation as made by the complainant in this record is not correct and it is specifically mentioned that delay which was caused was beyond the control of the complainant for which no cause of action was at all arisen on 21-05-2012 and fact remains the said TDS amount has already been deposited to the Government Account on 22-05-2012 and fact remains the said TDS amount has already been deposited to the Government Account on 21-05-2012 to Pradip Kumar Das has already been deposited on 21-03-2014 for which practically there is no deficiency in service as alleged by the complainant against this complainant and in the above circumstances, the complaint should be dismissed.

Decision with Reasons

On proper consideration of the entire materials on record and also hearing the argument for the Ld. Lawyer of the complainant and the OP it is clear that Op deducted a sum of Rs.22,616/- as TDS in respect of NSS Account No.15526 of Pradip Kumar Das out of total maturity amount of the said NSS and a sum of Rs.1,02,589/- was deposited in the SB Account No.1125419 to the complainant which was lying in the OPs Post Office.  Truth is that the said TDS Account was deducted on 21-05-2012 when the complainant submitted his income tax return with the said TDS Certificate Income Tax Department charged further amount as TDS stating that no such amount of Rs.26,6216/- was deposited against his PAN Account No.ACNPD4646E and in this regard OP has submitted that practically for their deficiency in infrastructure of TDS uploading it was wrongly uploaded subsequently on 21-03-2014 amount had been deposited to the Government Account on 22-05-2012.  Now question is whether there is any fault on the part of the OP or not apparently it is clear that there was laches on the part of the postal authorities who are stating about their lack of infrastructure about uploading the TDS deduction timely.  But when OP issued 16A form only on 21-03-2014 then it is clear that the said amount was not deposited to the IT Department and that was not accounted against the complainant’s PAN No. and that is the fact and OP has admitted that it is not their deficiency but actually OP2 has tried to say that said deducted TDS amount was deposited to the account of Kashipore Head Post Office in the account of GMPAF and Kashipore Post Office who failed to upload the same for want of infrastructure and subsequently it was deposited and computer generated 16A form was issued only on 19-03-2014 and it was send to the complainant on 21-03-2014 then it is clear that it was not actually deposited to the Income Tax Department on the very month of deduction of the said TDS that is in the month of May or June, 2012 ad as per computer generated Form 16A issued by the OP it is found that same was issued for financial year 2014 but actually TDS was deducted on 21-05-2012 so it must be deposited within the financial of second quarter (June-July-August) but that was not deposited when that is that fact then invariably complainant did not get tax deduction benefit for the said assessment year.  Moreover, after considering the provisions of law about tax deduction it is clear that issuance of TDS certificate in form 16A for quarter 3 of financial year 2013-14 and as per Income Tax Act and Rules TDS Certificate other than the salary slip deposited to the account in Form 16A on quarterly basis within 15 days of filing of TDS return by DDOs in Post Offices, failing which a penalty of Rs.100/- per day can be imposed on the DDO.  Procedure for filing eTDS return and generation of Form 16A from TDS Reconciliation Analysis and Correction Enabling System shall be followed and it is also found from the SB order 10/2013 of Ministry of Communications and IT Department of Posts that Postal Authority directed to all the Post Offices to follow the same otherwise penalty may be imposed but truth is that this OP did not follow the same and it is no doubt a laches on the part of the OP.  In the above situation there is no other alternative but to hold that for the laches on the part of the OP Department complainant did not get any benefit of tax deduction of Rs.262,2616/- which was deducted by the OP on 21-08-2012 and that complainant failed to get such benefit and it was not actually deposited on 21-05-2012 to the account of the Income Tax Department against PAN Account of the complainant and from the OPs own written version it was actually deposited in the month of March, 2014 and 16A Form was issued.  Now, the question is whether the complainant shall have to get benefit of the same amount in the present financial year and several complications shall be found by the complainant in adjusting the said amount at the time of submitting Income Tax Return of the present financial year 2013-14.  So, in the above premises we are satisfied that laches was on the part of the OP and practically complainant has prayed for a relief to direct the OP to deposit the amount with Income Tax Account of the complainant or to direct to refund the TDS amount along with 18 percent interest but when OP has submitted that they have deposited the same and 16A form has been issued in this case it is the duty of the OP to keep watch about the fact that whether that amount has been adjusted against the PAN account of the complainant by the IT Department and whether same has been accepted by the IT Department or not but harassment has been made by the OP and at the same time for such delay for depositing the same by the OP invariably complainant shall have to pay such penalty to the Income Tax Department and if complainant is bound to pay any penalty in that case that penalty shall be paid by the OP as and when complainant shall have to pay for that but anyhow OP has failed to prove that the said amount was deposited for the year 2012 but OPs own conduct is proved that it was deposited in the month of March, 2014.  Then for two years the amount was in the custody of the Postal Authority and for that Postal Authority shall have to pay some compensation to the complainant and also shall have to pay all penalties which shall be paid by the complainant for delay of the deposit of the sum and it is the duty of the OP to regularizes the matter so, we are convinced to hold that laches and negligence and deficiency are on the part of the OP which is well proved and beyond any manner of doubt.

          In this context after overall evaluation of the entire materials on record including the provision of the Postal Authority we have gathered that Postal Authority has become a mere grocery shop having no infrastructure though it is the Central Government Establishment.  Truth is that the entire administration is very much reluctant to perform their daily duties and they are not discharging their duties properly and for which huge numbers of depositors are being harassed which is evident from the order of the Ministry of Communications and IT Department of Posts dated 09-07-2013 being SB Order No.10/2013 where the general performance of the postal department is completely ventilated and as per provision of IT Act the complainant may be penalized for deposit of the said amount at belated stage and for which OP shall have to pay penalty and after assessing the entire dispute we are inclined to say that the complaint should be allowed and invariably the complainant is entitled to get such compensation and for his harassment also OP is bound to pay the penalty as would be imposed by the Income Tax Authority to the complainant in future and accordingly, the complaint succeeds considering negligence and deficiency in rendering service by the OP.

Hence,

Ordered

That the case be and the same is allowed on contest against the OP with a cost of Rs.5,000/- (Rupees Five thousand only).

          OP is directed to pay a compensation of Rs.10,000/- (Rupees Ten thousand only) for harassing the complainant since 21-05-2012 till today and also for causing mental pain and sufferings and further for not getting the TDS Deduction for Assessment year of 2012-13.

          OP is also directed to pay all penalties which shall be charged by the Income Tax Department to the complainant for delayed deposit of TDS deducted on 21-05-2012 but which was deposited in the year 2014.

At the same time OP shall regularize the said matter of the TDS as deposited at belated stage in this regard and satisfy the complainant that the said amount of Rs.26,616/- has been properly credited in the PAN A/c. of the complainant and Income Tax Department has accepted it and if any fine and/or penalty is imposed for that same shall be paid by the OP to the Income Tax Department on behalf of the complainant and against the complainant’s PAN Account.

          OP is directed to comply the order within 45 days from the date of this order failing which for disobeyance and non-compliance of the order the OP shall be penalized and shall be charged penal interest  at the rate100/- per day till full satisfaction of the decree and even penal proceeding u/s.27 of the C.P. Act shall be started against them for implementation of the order.