DEPUTY COMMISSIONER OF INCOME TAX, DELHI V. VIKAS ASSOCIATES PRIVATE LIMITED, DELHI

ITA 1367/DEL/2025

AI Insights

The case involves an appeal by the Revenue against the order of the CIT(Appeals)-25, Delhi, which had deleted additions made under sections 69A and 69C of the Income Tax Act for the assessment year 2012-13. The primary contention was whether the proceedings initiated under section 153C for AY 2012-13 were barred by limitation. The CIT(Appeals) had ruled that the assessment year in question was beyond the ten-year period allowed for block assessments, referencing decisions from the Supreme Court and the Delhi High Court. The Tribunal agreed with the CIT(Appeals), dismissing the Revenue's appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 773338 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-09-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2012-2013
• Appeal Filed On: 05-03-2025
• Other Referred Cases: CIT vs. Jasjit Singh, PCIT vs. Ojjus Medicare Pvt. Ltd.
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JITENDER SINGH
• Assessee Lawyers: MAYANK PATAWARI
• Section: 153A; 69C

Judgement Text

"ITA No.1367/Del/2025 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “A” NEW DELHI BEFORE SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER AND SHRI AVDHESH KUMAR MISHRA, ACCOUNTANT MEMBER आ.अ.सं/.I.T.A No.1367/Del/2025 िनधा रणवष /Assessment Year:2012-13 DCIT, Central Circle-26, Room No.323, ARA Central, 3rd Floor, Jhandewalan Extn., New Delhi. बनाम Vs. VIKAS ASSOCIATES PVT. LTD., B-9, Bhagwan Das Nagar, East Punjabi Bagh, New Delhi. PAN No.AAACV0935C अपीलाथ\u0014 Appellant \u0016\u0017यथ\u0014/Respondent Revenue by Shri Jitender Singh, Sr. DR Assessee by Shri Mayank Patawari, Adv. सुनवाईक\bतारीख/ Date of hearing: 11.08.2025 उ\u000eोषणाक\bतारीख/Pronouncement on 24.09.2025 आदेश /O R D E R PER C.N. PRASAD, J.M. This appeal is filed by the Revenue against the order of the Ld. CIT(Appeals)-25, Delhi dated 23.12.2024 for the AY 2012-13. The Revenue has raised the following grounds: 1. “Whether the facts and in the circumstances of the case, the Ld. CIT(A) has erred in deleting the addition of Rs.35,00,000/- made u/s 69A of the Income Tax Act. 2. Whether the facts and in the circumstances of the case, the Ld. CIT(A) has erred in deleting the addition of Printed from counselvise.com ITA No.1367/Del/2025 2 Rs.1,05,000/- made on account of unaccounted commission u/s 69C @3% of Rs.35,00,000/-. 3. Whether the computation of the block period under sections 153C and 153A of the Income Tax Act, as interpreted by the Hon’ble High Court in the case of Ojjus Medicare Pvt. Ltd., aligns with the legislative intent and procedural flexibility outlined in CBDT Circular No. 2/2018 dated 15 February 2018. 4. That the order of the CIT (A) is perverse, erroneous and is not tenable on facts and in law. 5. That the grounds of appeal are without prejudice to each other.” 2. Ld. Counsel for the assessee, at the outset, submits that the proceedings initiated u/s 153C for the assessment year under consideration i.e. AY 2012-13 is barred by limitation since in the instant assessment year falls beyond the period of ten years in view of the decision of Hon’ble Supreme Court in the case of CIT vs. Jasjit Singh (2023) SCC Online SC 1265 and the Hon’ble jurisdictional High Court in the case of PCIT vs. Ojjus Medicare Pvt. Ltd. (2024) SCC Online Del 2439. Ld. Counsel for the assessee submitted that the Ld. CIT(A) following the decision of the jurisdictional High Court held that the assessment year under consideration i.e. 2012-13 would fall beyond the ambit of 10 assessment years provided u/s 153C r.w.s. 153A of the Act and the impugned assessment order passed u/s 153C is quashed. Printed from counselvise.com ITA No.1367/Del/2025 3 3. Heard rival contentions. We observed that the Ld. CIT(A) following the jurisdictional High Court in the case of Ojjus Medicare Pvt. Ltd. (supra) held that the AY 2012-13 would fall beyond the period of 10 years block given the facts of the assessee and accordingly the assessment was quashed observing as under: Printed from counselvise.com ITA No.1367/Del/2025 4 4. On careful perusal of the order of the Ld. CIT(A), we do not see any infirmity in the order passed by the Ld. CIT(Appeals) in holding that the assessment year under consideration i.e. AY 2012-13 is beyond the period of block of 10 years and therefore the assessment made for the AY 2012-13 pursue to notice u/s 153C has no legs to stand in view of the decision of the Hon’ble jurisdictional High Court in the case of Ojjus Medicare Pvt. Ltd. (supra). Thus, we sustain the order of the Ld. CIT(A) and reject the grounds raised by the Revenue. 5. In the result, appeal of the Revenue is dismissed. Order pronounced in the open court on 24.09.2025 Sd/- Sd/- (AVDHESH KUMAR MISHRA) (C.N. PRASAD) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 24.09.2025 *Kavita Arora, Sr. P.S. Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com "