CALCUTTA DIVISION LIFE INSURANCE EMPLOYEES CO OP CREDIT SOCIETY LTD. ,KOLKATA V. DCIT, CIR. 32(1), KOLKATA

ITA 163/KOL/2024

AI Insights

The case involves the Calcutta Division Life Insurance Employees Co-op Credit Society Ltd., which appealed against the penalty confirmed by the CIT(A) under section 270A of the Income Tax Act, 1961, for the assessment year 2018-19. The penalty was initially imposed following the assessment proceedings. The assessee's representative argued that the quantum appeal was still pending before the CIT(A) and requested that the penalty issue be restored to the CIT(A)'s file to be heard concurrently with the quantum appeal. The Senior Departmental Representative agreed to this approach. The Tribunal, considering the principles of natural justice and the ongoing quantum appeal, decided to set aside the CIT(A)'s order on the penalty and restore the matter for fresh adjudication.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 32912 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2018-2019
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ANKUR GOYAL
• Assessee Lawyers: SUBHABRATA DATTA
• Keywords: Set aside; Principle of natural justice
• Section: 250

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, KOLKATA BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI SANJAY AWASTHI, ACCOUNTANT MEMBER ITA No. 163/KOL/2024 Assessment Years: 2018-19 Calcutta Division Life Insurance Employees Co-op Credit Society Ltd. 2nd Floor Metropolitan Insurance House, 7, Jawaharlal Nehru Road, Kolkata-700013. (PAN: AAABC0739Q) Vs DCIT 32(1), Kolkata. (Appellant) (Respondent) Present for: Appellant by : Shri Subhabrata Datta, AR Respondent by : Shri Ankur Goyal, JCIT, Sr. DR Date of Hearing : 20.03.2025 Date of Pronouncement : 20.03.2025 O R D E R Per Bench : This appeal has been filed by the assessee against the order of the Ld. Commissioner of Income Tax (Appeals), NFAC, Delhi [hereinafter referred to as “the Ld. CIT(A)”] vide order no. ITBA/NFAC/S/250/2023- 24/1058355021(1) dated 30.11.2023 passed u/s. 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for AY 2018-19 arising out of the penalty order passed u/s. 270A of the Act vide No. ITBA/PNL/F/270A/2021-22/1040291996(1) dated 03.03.2022. 2. Shri Subhabrata Datta, AR appeared on behalf of the assessee and Shri Ankur Goyel, JCIT, Sr. DR appeared on behalf of the revenue. 2 ITA No.163/Kol/2024 Calcutta Division Life Insurance Employees Co-op. Credit Society Ltd. AY: 2018-19 3. It was submitted by the Ld. AR that the appeal is against an order by the Ld. CIT(A) confirming the penalty levied u/s. 270A of the Act. It was the submission that the quantum of appeal is still pending before the Ld. CIT(A). It was the submission that the quantum appeal is numbered as follows: It was the submission that in the interest of justice the issue of the penalty may be restored to the file of the Ld. CIT(A) to be heard along with the quantum appeal mentioned above. 4. In reply, the Ld. Sr. DR submitted that in all fairness that would be appropriate action. 5. We have considered the rival submissions. As it is noticed that the penalty proceedings are consequence of the assessment proceedings and as the quantum appeal in the case of the assessee is still pending before the Ld. CIT(A), in the interest of natural justice, the order of the Ld. CIT(A) passed in confirming the penalty u/s. 270A of the Act in the impugned order is set aside and the issues in the appeal are restored to the file of the Ld. CIT(A) for adjudication afresh along with the quantum appeal of the assessee passed in the impugned assessment order mentioned above. 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order dictated and pronounced in the open court. Sd/-(Sanjay Awasthi) Sd/-(George Mathan) Accountant Member Judicial Member Dated: 20th March, 2025 3 ITA No.163/Kol/2024 Calcutta Division Life Insurance Employees Co-op. Credit Society Ltd. AY: 2018-19 JD, Sr. P.S. Copy to: 1. The Appellant: Calcutta Division Life Insurance Employees Co- op Credit Society Ltd. 2. The Respondent. DCIT 32(1), Kolkata. 3. CIT(A), NFAC, Delhi 4. Pr. CIT 5. DR, ITAT, Kolkata Bench, Kolkata 6. Guard file. True Copy By Order Assistant Registrar ITAT, Kolkata. "