ACIT, Chandigarh V. Smt. Seema Dhaliwal, Chandigarh

ITA 1012/CHANDI/2012

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 64073 (ITAT-CHANDIGARH)
• Duration Of Justice: 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 05-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J S NAGAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH A, CHANDIGARH BEFORE SHRI T.R.SOOD, ACCOUNTANT MEMBER AND MS. SUSHMA CHOWLA, JUDICIAL MEMBER ITA NO. 1012/CHD/2012 (ASSESSMENT YEAR : 2006-07) THE A.C.I.T., VS. SMT.SEEMA DHALIWAL, CIRCLE 4(1), # 1370, SECTOR 33-C, CHANDIGARH. CHANDIGARH. PAN: ABBPD2272P (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI J.S.NAGAR, DR RESPONDENT BY : SHRI VINEET KRISHAN DATE OF HEARING : 13.12.2012 DATE OF PRONOUNCEMENT : 18.12.2012 O R D E R PER SUSHMA CHOWLA, J.M, : THE APPEAL FILED BY THE REVENUE IS AGAINST THE ORDE R OF THE COMMISSIONER OF INCOME-TAX (APPEALS), CHANDIGARH DA TED 18.07.2012 RELATING TO ASSESSMENT YEAR 2006-07 AGAINST THE PEN ALTY LEVIED U/S 271(1)(C) OF THE INCOME TAX ACT, 1961 (IN SHORT TH E ACT). 2. THE GROUNDS OF APPEAL RAISED BY THE REVENUE READ AS UNDER: 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW, THE LD, CIT(A) HAS ERRED IN ALLO WING APPEAL OF THE ASSESSEE WITHOUT APPRECIATING THE FACTS OF THE CASE. 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND, IN LAW THE LD. CIT(A) HAS ERRED IN DELETING THE PE NALTY OF RS,8,50,000/- IMPOSED UNDER SECTION 271(L)(C) OF THE INCOME-TAX ACT, 196. 3. IT IS PRAYED THAT THE ORDER OF THE LD, CIT (A) B E SET ASIDE AND THAT OF THE ASSESSING OFFICER MAY BE REST ORED. 2 4. THE APPELLANT CRAVES LEAVE TO ADD OR AMEND ANY G ROUNDS OF APPEAL BEFORE THE APPEAL IS HEARD OR IS DISPOSED OFF. 3. THE ONLY ISSUE RAISED IN THE PRESENT APPEAL IS A GAINST DELETION OF PENALTY LEVIED U/S 271(1)(C) OF THE ACT. THE LEARN ED A.R. FOR THE ASSESSEE AT THE OUTSET POINTED OUT THAT THE ADDITIO N MADE IN THE HANDS OF THE ASSESSEE WAS DELETED BY THE TRIBUNAL VIDE ORDER DATED 21.6.2011. CONSEQUENTLY THERE IS NO MERIT IN LEVY OF PENALTY U /S 271(1)(C) OF THE ACT. 4. THE LEARNED D.R. FOR THE REVENUE PLACED RELIANCE ON THE ORDER OF THE ASSESSING OFFICER. 5. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORD. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE HAD F URNISHED RETURN OF INCOME DECLARING LONG TERM CAPITAL GAINS WHICH WERE TREATED AS INCOME FROM BUSINESS BY THE ASSESSING OFFICER. THE CIT (A PPEALS) UPHELD THE ORDER OF THE ASSESSING OFFICER. THE TRIBUNAL VIDE ORDER DATED 21.6.2011 IN BUNCH OF APPEALS WITH LEAD ORDER IN ITA NO.1350/ CHD/2010 IN THE CASE OF DCIT VS. SHRI HARJIT SINGH SANGHA RELATING TO AS SESSMENT YEAR 2006- 07 HAD DECIDED THE ISSUE ALONGWITH ITA NO.1176/CHD/ 2009 RELATING TO ASSESSMENT YEAR 2006-07 RELATABLE TO THE ASSESSEE B EFORE US. THE TRIBUNAL HELD THAT THE INCOME EARNED BY THE ASSESSE E ON SALE OF THE ABOVE SAID PIECES OF LAND WAS ASSESSABLE AS INCOME FROM CAPITAL GAINS. THE ASSESSING OFFICER HAD LEVIED PENALTY U/S 271(1) (C) OF THE ACT DURING THE PENDENCY OF THE APPEAL BEFORE THE TRIBUNAL. HO WEVER, IN VIEW OF THE RATIO LAID DOWN BY THE TRIBUNAL AND ALSO DELETION O F ADDITION MADE BY THE ASSESSING OFFICER, WE ARE IN CONFORMITY WITH THE OR DER OF THE CIT (APPEALS) IN DELETING THE PENALTY LEVIED U/S 271(1) (C) OF THE ACT IN VIEW 3 OF THE ADDITION BEING DELETED IN THE CASE OF THE AS SESSEE. UPHOLDING THE SAME, WE DISMISS GROUNDS OF APPEAL RAISED BY THE RE VENUE. 6. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 18 TH DAY OF DECEMBER, 2012. SD/- SD/- (T.R.SOOD) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 18 TH DECEMBER, 2012 *RATI* COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/TH E CIT/THE DR. ASSISTANT REGISTRAR, ITAT, CHANDIGARH