Date of Filing: 17-08-2015 Date of Final Order: 28-04-2017
Sri Gurupada Mondal, President.
Briefly stated the facts of the case can be gathered from the case record is that the Complainant had fixed deposit scheme in State Bank of India, Balarampur Branch and he submitted necessary form to the O.P. Bank for not deduction of Income Tax. But after the maturity period, the O.P. Bank deducted @20% on payable interest, totaling Rs.11,557/- for Income Tax purpose. After receiving such letter, the Complainant went to the bank Manager and he was informed that the money was deducted by Bombay Office, therefore the Complainant should refund claim from the Income Tax Office with Form-16. Accordingly the Complainant did the same and after waiting for long time he was informed by the Income Tax Office that the Form-16 was filled up with wrong information i.e. Challan number, date which was given by the O.P. Bank. The Complainant has no PAN Card at the time of deduction of Income Tax but he applied the same at the time of refund claim from the Income Tax Office. The Complainant was informed by the Income Tax Office that he should submitted Revised 26AS Form to the concern office as the Form-16 was wrong for that he will get the deduction amount. Accordingly, the Complainant requested the O.P, Bank Manager to get the 26AS Form. But the O.P did not pay any heed. The Complainant submitted a letter for such fact but the O.P refused him for which the Complainant had to go to the office of the CA & FBP, Cooch Behar, Govt. of West Bengal and filed a case bearing No.792/87/CICC/2014-15. Thereafter, both the Complainant and the O.P was called for attending Tripartite meeting on 20/10/2014 at the said Office. But the O.P was absent. The O.P was contacted over telephone by the concern office but the O.P replied that he did not get such letter. On 10/03/2015 again called from the office of the CA & FBP, Cooch Behar, Govt. of West Bengal and at that time the O.P was present and promised that he would submit the Revised 26AS Form as soon as possible and for that estimated time is one or half month. But after spending 4-5 months, the Complainant did not get any result.
Due to such activities of the O.Ps, the Complainant suffered mental pain, agony & harassment and finding no other alternative he has filed the present case before this Forum for seeking redress and reliefs also praying for issuing a direction upon the O.P to pay (i) 11,557/- as refund amount, Rs.25,000/- as compensation for mental pain, agony & harassment, Interest, up & down fair, telephone exp. and litigation cost.
The O.P, The Branch Manager, State Bank of India, Balarampur Branch, Cooch Behar has contested the case by filing W/V denying all material allegation of the complaint contending inter-alia that the case is not maintainable and the Complainant has no cause of action to bring the case.
The main contention of the O.P is that the Complainant did not submit Permanent Account Number (PAN) which was very important to the Income tax Department for refunding of Tax and deduction of TDS. The Complainant had no Permanent Account Number (PAN) and thereafter he applied for PAN to get back his TDS amount which was deducted by the answering O.P.
As per the Section 206 AA of Income Tax Act it is mandatory for the payers to withhold tax at higher rates if payee does not provide his Permanent Account Number (PAN) and as per this provision, tax will be deducted at source @ 20%. Further it is clarified when tax is deducted by the Bank, it is duly deposited with the Govt. within the applicable due date vide Challan No.337 dated 30/04/2012 amounting to Rs.2,42,713/-. Hence, once Tax was deducted at a higher rate, due to non-availability of the PAN at the time of deduction, the bank would not be able to reverse the same. The Complainant claimed that Income Tax Department advised him to ask his bank to revise the TDS return for the same period as the reflection might shown in Form No.26AS. In accordance with the section stated above it is notified that it cannot be revised by the O.P bank and the O.P Bank Manager personally visited the Income Tax Department and the matter was discussed with them. According to them the Complainant did not inform the department that his PAN card was furnished at the time of IT Return of A.Y.2012-2013 not at the time of Tax deduction period by the bank and the Complainant did not provide the PAN to the Bank in the said period. The assessee tried to misguide the Income Tax Department, too, through his incomplete information. The answering O.P Bank has made tax deduction amounting to Rs.11,557 in the F.Y.2011-12 and submitted the TDS amount in Challan No.337 dated 30/04/2012 instead of Challan No.001 dated 07/04/2012. Therefore, in this situation the answering O.P Bank is neither in status to pay the TDS amount back to the Complainant nor to revise the TDS return for the same period with his PAN.
Ultimately, the O.P prayed for dismissal of the case with sufficient cost.
In the light of the contention of the Complainant, the following moot points necessarily came up for consideration.
POINTS FOR CONSIDERATION
- Is the Complainant Consumer as per Section 2(1)(d)(ii) of the C.P. Act, 1986?
- Has this Forum jurisdiction to entertain the instant complaint?
- Has the O.P any deficiency in service as alleged by the Complainant and are they liable in any way?
- Whether the Complainant is entitled to get relief/reliefs as prayed for?
DECISION WITH REASONS
We have gone through the record very carefully and perused the evidence on affidavit of the Complainant. Perused the entire documents in the record also heard the argument advanced by the parties at a length.
Point No.1.
The Complainant is Dilip Kr. Das and the O.P is State Bank of India. The O.P used to give banking service to the Complainant. As such the Complainant is a customer. Hon’ble Apex Court held that the banking service is covered under the definition of service and the customer is a consumer. All the conditions to become a consumer are present in between the Complainant and the O.P. Hence, we hold that the Complainant is a consumer as per provision U/S 2(1)(d) of the C.P.C. This point is decided in favour of the Complainant.
Point No. 2.
The Complainant is the resident of Balarampur, under Tufanganj P.S, Dist. Cooch Behar. The O.P is the State Bank of India and its Branch Office is situated at Balarampur, P.S. Tufanganj in the District of Cooch Behar. The cause of action took place at Balarampur, Dist. Cooch Behar. Therefore this Forum has territorial jurisdiction to try this case.
The claim of the Complainant is much less than the pecuniary limit, that this Forum can try. As such this Forum has both territorial as well as pecuniary jurisdiction to try this case.
Point No. 3 & 4.
Both points are taken up together for the convenience of discussion as well as the points are related with each other.
The case of the Complainant is that the Complainant deposited some amount in a fixed deposit account at the O.P Bank and to that effect he deposited requisite Form not to deduct Income Tax from the income as received by him as interest but the Bank deducted 20% Income Tax amounting to Rs.11,557/- from the income of interest. The Complainant meet with the Branch Manager and informed him that the interest was deducted from Mumbai Office and issued Form-16 to get refund of the claim. The Complainant submitted Tax return for the year 2012 – 2013 claiming refund of Rs.11,557/-. The Income Tax Department informed the Complainant that the Chalan number and date was wrongly supplied by the O.P Bank. The Complainant obtained the PAN number from Income Tax Department. The Income Tax Department further informed the Complainant that the correct Chalan number and date are to be supplied by filing Revised 26AS Form to get the refund of Rs.11,557/-. It is the case of the Complainant that the matter was informed to the Consumer Affairs Department for mediation and the Manager of the O.P Bank agreed to submit Revised return in 26AS Form but the O.P Bank finally did no submit the same and for that reason, the Complainant did not get the return of Rs.11,557/-.
Let us see, how far the Complainant has able to prove his case against the O.P Bank.
Admitted fact that the Complainant had no PAN Card while he made the fixed deposit at the O.P Bank and the O.P Bank deducted 20% Income Tax from the income (interest) of the Complainant i.e. Rs.11,557/-. According to the O.P. Bank, it deducted Rs.11,557/- as Income Tax from the income of the Complainant and deposited the same to the Govt. vide Chalan No.337 dated 30/04/2012 and total sum of Rs.2,42,713/- was deposited in favour of the Govt. The O.P Bank in its written statement has admitted that a sum of Rs.2,42,713/- was deposited in Chalan No.337 dated 30/04/2012 instead of Chalan No.001 dated 07/04/2012.
From the admission of the O.P as well as Form-16 issued by the O.P Bank, that the O.P Bank deducted sum of Rs.11,557/- from the Complainant as Income Tax and deposited the same vide Chalan No.337 dated 30/04/2012 with the Govt. instead of Chalan No.001 dated 07/04/2012. Therefore, as per admission of the O.P that the Chalan number and date was wrongly written while it was deposited with the Govt. The Complainant had no PAN number while the Income Tax was deducted and deposited with the Govt. Income Tax use to deposit against the PAN number. The person, who has no PAN number then the Income Tax of the person will be deposited against the name. As such it can be presumed that the Income Tax of the Complainant will be deposited against his name. The Chalan number and date can be corrected by filing Revised 26AS Form. The O.P Bank knew the fact of deposit of Income Tax in wrong Chalan and date but did not submit Revised Chalan in 26AS Form. Therefore, it is a deficiency in service on the part of the O.P Bank. The Complainant did not refund the Income Tax which was actually deducted from his income.
Thus, both points are decided in favour of the Complainant.
Accordingly,
Ordered,
That the present Case No. CC/77/2015 be and the same is allowed on contest against the O.P Bank with cost of Rs.3,000/-.
The O.P is hereby directed to pay Rs.11,557/- to the Complainant along with interest @ 8% P.A. from the date of filing of this case i.e. 17/08/2015 till the full payment is made.
The O.P is hereby directed to pay the aforesaid amount to the Complainant within 30 days, failing which the O.P shall pay a sum of Rs.50/- per day for each day’s delay till the full payment is made. The amount so accumulated be deposited in the Consumer Legal Aid Account.
Let plain copy of this Final Order be supplied free of cost to the concerned parties for information and necessary action, as per Rules.
Dictated and corrected by me.
