GYANCHAND NEMICHAND JAIN,SECUNDERABAD V. ACIT., CIRCLE-6(1), HYDERABAD

ITA 956/HYD/2024

AI Insights

The case involves two appeals by Gyanchand Nemichand Jain against the orders of the CIT(A)-National Faceless Appeal Centre, Delhi, for the assessment year 2018-2019. The appeals were related to disputes over certain additions made by the Assessing Officer and the penalties levied on these additions. The assessee opted for the Direct Taxes Vivad Se Vishwas Scheme, 2024, which is a scheme aimed at resolving tax disputes. Under this scheme, the assessee filed Form No.1 and received Form No.2, which determined a refund amount. Consequently, the assessee requested to withdraw both appeals, which was unopposed by the Departmental Representative. The tribunal's decision to allow the withdrawal of the appeals was based on the provisions of the Vivad Se Vishwas Scheme, which stipulates that once a dispute is settled under the scheme, related penalties do not survive.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 38117 (ITAT-HYDERABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-03-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB-B
• Assessment Year: 2018-2019
• Laws Referred To: Direct Taxes Vivad Se Vishwas Scheme, 2024
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SACHIN KUMAR
• Assessee Lawyers: A. SRINIVAS APPEARED
• Keywords: Competent authority

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD “B” BENCH : HYDERABAD BEFORE SHRI VIJAY PAL RAO, VICE PRESIDENT AND SHRI MANJUNATHA G, ACCOUNTANT MEMBER ITA.No.856 & 956/Hyd/2024 Assessment Years 2018-2019 Gyanchand Nemichand Jain, West Maredpally, SECUNDERABAD. PIN 500 026. PAN AGAPJ6957H vs. The ACIT, Circle-6(1), Hyderabad. (Appellant) (Respondent) For Assessee : CA A. Srinivas appeared for CA K A Sai Prasad And Assessee Party-in-Person For Revenue : Dr. Sachin Kumar, Sr. AR Date of Hearing : 18.03.2025 Date of Pronouncement : 18.03.2025 ORDER PER MANJUNATHA G, A.M. : The above twin appeals are filed by the assessee viz., Gyanchand Nemichand Jain against the separate orders dated 12.07.2024 and 24.07.2024 of the learned CIT(A)-National Faceless Appeal Centre [in short “NFAC”], Delhi, relating to the assessment year 2018-2019. 2 ITA.Nos.856 & 956/Hyd./2024 2. At the very outset, the Learned Counsel for the Assessee vide letter dated 03.03.2025 submitted that the assessee had opted to settle the dispute under Direct Taxes Vivad Se Vishwas Scheme, 2024 and filed Form No.1 and received Form No.2 dated 25.02.2025 from the Department by determining refund amount of Rs.1,19,683/- in ITA.No.856/Hyd./2024. He further submitted that once the disputed issue is settled under Direct Taxes Vivad Se Vishwas Scheme, 2024, then, penalty levied on the said disputed addition does not survive as per the “Scheme” and accordingly, the appeal ITA.No.956/Hyd./2024 filed by the assessee against the penalty levied by the Assessing Officer also does not survive. He, therefore, submitted that, assessee may be permitted to withdraw the appeals, to which, the Learned DR has no objection. 3. We have heard both the parties in light of letter filed by the assessee dated 03.03.2025 requesting the Bench to allow the assessee to withdraw the appeals. Although, the assessee has filed letter for withdrawing the appeal ITA.No.856/Hyd./2024 filed by the assessee in light of 3 ITA.Nos.856 & 956/Hyd./2024 relevant Form No.2 issued by the Competent Authority, but, during the course of hearing, the Learned Counsel for the Assessee made a statement at Bar that once the issue of additions made by the Assessing Officer has been settled under Direct Taxes Vivad Se Vishwas Scheme, 2024, then, any penalty levied on such additions does not survive and consequently, the appeal ITA.No.956/Hyd./2024 filed by the assessee against the penalty levied by the Assessing Officer also needs to be dismissed as withdrawn. Therefore, considering the letter dated 03.03.2025 filed by the assessee and also the statement of the assessee’s counsel during the course of hearing, we dismiss the appeals ITA.Nos.856 and 956/Hyd/2024 filed by the assessee as “withdrawn”. 4. Further, we make it clear that, the assessee can approach the Tribunal in case the settlement is not accepted by the Department under Vivad se Vishwas Scheme 2024, for whatsoever may be the reason, then, the assessee shall be at liberty to file Miscellaneous Application before the Tribunal within the time limit prescribed under the Act to reinstate assessee's appeal. Ordered accordingly. 4 ITA.Nos.856 & 956/Hyd./2024 5. In the result, both the appeals of the assessee are dismissed as “withdrawn”. A copy of this common order be placed in the respective case files. Order pronounced in the open Court on 18.03.2025 Sd/- Sd/- [VIJAY PAL RAO] [MANJUNATHA G] VICE PRESIDENT ACCOUNTANT MEMBER Hyderabad, Dated 18th March, 2025 VBP Copy to 1. Gyanchand Nemichand Jain, Flat No.100, 2/3- Arihant Mansion, SSS Nagar, West Maredpally, SECUNDERABAD - 500 026. Telangana. 2. The ACIT, Circle-6(1), IT Towers, AC Guards, Masab Tank, Hyderabad – 500 057. Telangana 3. The Pr. CIT, Hyderabad. 4. The DR ITAT “B” Bench, Hyderabad. 5. Guard File. //By Order// //True Copy// "