AASMEEN,NOIDA V. INCOME TAX OFFICER , NOIDA

ITA 5248/DEL/2024

AI Insights

The case involves an appeal by Aasmeen against the penalty imposed by the Income Tax Officer under section 271A for non-filing of income tax returns. The penalty was affirmed by the National Faceless Appeal Centre (CIT(A)). The assessee argued that the penalty was unjustified as there was no quantification of underreported income in the penalty notice or the assessment order, and the demand notice showed 'Rs. 0' as the demand. The Departmental Representative supported the lower authorities' decision, arguing that the assessee was a non-filer and thus liable for the penalty. The Tribunal, after considering the arguments and evidence, found no basis for the penalty and allowed the appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 31041 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASHISH TRIPATHI
• Assessee Lawyers: SOMIL AGARWAL
• Keywords: Set aside

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: ‘A’: NEW DELHI) BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER AND SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER ITA No:- 5248/Del/2024 (Assessment Year- 2017-18) Aasmeen, C/o Sanjeev Anand & Associates 136, Navyug Market. UP 201001 Vs. Income Tax Officer R. No. 303, Aayakar Bhawan, Sector-24, Noida, UP 201307 PAN No: BOYPA6675L APPELLANT RESPONDENT Assessee by: Shri Somil Agarwal, Adv. Revenue by : Shri Ashish Tripathi, Sr. DR Date of Hearing :13.03.2025 Date of Pronouncement :13.03.2025 ORDER PER AMITABH SHUKLA, AM: This appeal by Assessee is directed against the order of National Faceless Appeal Centre, Delhi, [for short hereinafter referred to as the [“Ld. CIT(A)”] dated 28.06.2024 for Assessment Year 2017-18. 2.0 It has been noted that there is a delay of 77 days in the case, in filing of this appeal before the tribunal. In its affidavit the assesse has ITA No.- 5248 -2024 Aasmeen Page 2 of 4 pleaded that the assesse is illiterate person not familiar and conversant with electronic communications. It was submitted that consequently, the emails got ignored contributing the delay in filing of this appeal.All these activities contributed to the delay which was neither willful nor wanton. The assessee submitted that there will not be case of any non-compliance now. We have considered the justification put forth by the assesse and we are satisfied with their adequacy. We are also conscious of the fact that no litigant gains by intentionally delaying its own matters. The Ld. DR did not pose any serious objections to the assessee’s request for condonation of delay. Accordingly, we hereby condone the delay and proceed to adjudicate this appeal. 3.0 The Ld. Council of the assessee informed that the only issue seminal to the controversy is incorrect impositions of penalty under section 271A by the Ld. AO and its affirmation by the Ld. CIT(A).The Ld. Council for the assessee submitted that there have been several deficiencies, in the entire issue of imposition of penalty under section 271A in its case which have made the same per se bad in law. The Ld. Council pointed that neither the penalty notice nor the assessment ITA No.- 5248 -2024 Aasmeen Page 3 of 4 order makes any mention of quantification of any under reporting of income or miss reporting consequent to under reporting of income.It was argued that the penalty impositions thus becomes invalid. Inviting reference to the demand notice u/s 156, the Ld. Council stated that demand has been shown as “Rs. 0”. Thus, when the demand was Rs.0 there cannot be any case of penalty which is related to tax demanded. It was,accordingly,submitted that the impugned penalty be deleted. The Ld. DR vehemently argued in favour of lower authorities. IT was submitted that the assessee was non-filer and hence was liable for penalty u/s 271A. 4.0 We have heard rival submission on the matter in the light of material available on records. Penalty u/s 271A is leviable for proven cases of under reporting of income or misreporting consequent to under reporting of income. We have noted that no such case has been made out by the Revenue while imposing the impugned penalty. Accordingly, we set aside the order of lower authorities and direct the Ld. AO to delete the impugned Penalty u/s 271A. All the Grounds of Appeal are raised by the assessee are therefore allowed. ITA No.- 5248 -2024 Aasmeen Page 4 of 4 5.0 In the result appeal of the assessee is allowed. Order pronounced in the Open Court on 13.03.2025 Sd/- Sd/- (VIKAS AWASTHY) (AMITABH SHUKLA) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 13/03/2025. Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI "