Sri Saibal Chatterjee, Kolkata V. ITO, Ward-24(3), Kolkata, Kolkata

ITA 1100/KOL/2012

• Counselvise Citation: [2012] 119 COUNSELVISE.COM (IT) 7930 (ITAT-KOLKATA)
• Duration Of Justice: 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-08-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2005-2006
• Appeal Filed On: 25-07-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K PRAMANIK SR D R TH

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH: K OLKATA [BEFORE SMT. DIVA SINGH, HONBLE JUDICIAL MEMBER ] I.T.A. NO.1100/KOL/2012 ASSESSMENT YEAR : 2005-06 SRI SAIBAL CHATTERJEE VS- I.T.O., WARD-24(3),KOLKATA C/O- S.M.SURANA, ADVOCATE P-38, INDIA EXCHANGE PLACE, ARUN CHAMBER, 3 RD FLOOR, KOLKATA 700 001 (PAN:ADPPC 8750R) ( APPELLANT ) ( RESPONDENT ) DATE OF CONCLUDING THE HEARING : 07.08.2012 DATE OF PRONOUNCING THE ORDER : 07.08.2012 APPEARANCES : FOR THE APPELLANT : SHRI SUNIL SURANA, : FOR THE RESPONDENT : SHRI A.K.PRAMANIK, SR.D.R. O R D E R THIS IS AN APPEAL FILED BY THE ASSESSEE AG AINST THE ORDER DATED 21.05.2012 OF COMMISSIONER OF INCOME TAX (APPEALS)-XIV, KOLKATA P ERTAINING TO THE ASSESSMENT YEAR 2005-06 ON THE GROUND THAT THE PENA LTY IMPOSED BY THE AO UNDER SECTION 271(1)(C) AND CONFIRMED BY THE CIT(A) DESER VES TO BE QUASHED. 2. THE LD. A.R., INVITING ATTENTION TO THE A SSESSMENT ORDER DATED 31.10.2008 WHICH WAS PASSED CONSEQUENT TO THE RESTORATION OF T HE ASSESSEES APPEAL BY THE ITAT, VIDE ITS ORDER DATED 13.05.2008 IN ITA NO.436 /KOL/2008 SUBMITTED THAT THE ADDITION MADE IN THE ORIGINAL PROCEEDINGS WAS NOT M ADE BY THE AO IN THE PROCEEDINGS, PURSUANT TO THE ORDER OF THE TRIBUNAL AND ALTHOUGH THE ADDITION OF RS.7,784/- WAS MADE, HOWEVER, NO PROCEEDINGS WERE I NITIATED FOR PENALTY UNDER SECTION 271(1)(C). AS SUCH, THE PENALTY IMPOSED UND ER SECTION 271(1)(C) DESERVES TO BE QUASHED. 2 ITA NO.1100/KOL/2012 SRI SAIBAL CHATTERJEE ASSESSMENT YEAR: 2005-06 3. THE LD. D.R., ON A PERUSAL OF THE ASSESSMENT ORD ER, SUBMITTED THAT THE PENALTY PROCEEDINGS UNDER SECTION 271B WERE INITIAT ED AND ADMITTEDLY IN THE ASSESSMENT ORDER DATED 31.10.2008 RELEVANT FOR THE PRESENT PROCEEDINGS AS NO ADDITION WAS MADE PENALTY PROCEEDING UNDER SECTION 271(1)(C) WERE NOT INITIATED. 4. HAVING HEARD THE RIVAL SUBMISSIONS AND PERUSED T HE MATERIALS AVAILABLE ON RECORD, IN THE LIGHT OF THE ARGUMENTS ADVANCED BY T HE PARTIES BEFORE THE BENCH, WHICH IS FOUND SUPPORTED BY THE RECORD AT HAND, IT IS SEEN THAT IN VIEW OF THE FACT THAT NO ADDITION WAS MADE BY THE AO IN THE 143(3)/2 54 ORDER, PURSUANT TO THE ORDER OF THE TRIBUNAL, THE PENALTY PROCEEDINGS DESERVES T O BE QUASHED. IT IS SEEN THAT BEFORE THE CIT(A), THE ASSESSEE WAS NOT REPRESENTED , THOUGH VARIOUS OPPORTUNITIES WERE GIVEN. THE SAID FACT WAS CONFRONTED TO THE LD. A.R. IN THE COURSE OF THE HEARING WHO STATED THAT NO DOUBT THE ASSESSEE MAY H AVE ENGAGED ANOTHER COUNSEL WHO DID NOT APPEAR, HOWEVER, THE FACT REMAINED THAT IN THE SECOND ROUND BEFORE THE AO, NO ADDITION WAS MADE ON ACCOUNT OF WHICH THE PE NALTY PROCEEDINGS COULD NOT BE INITIATED. THUS, IN THE ABOVE-MENTIONED PECULIAR FACTS AND CIRCUMSTANCES OF THE CASE, IN THE LIGHT OF THE ARGUMENTS ADVANCED AND TH E MATERIALS AVAILABLE ON RECORD, THE APPEAL OF THE ASSESSEE IS ALLOWED AND THE PENAL TY ORDER IS QUASHED. THE SAID ORDER WAS PRONOUNCED IN THE OPEN COURT IN PRESENCE OF THE PARTIES AT THE TIME OF HEARING. 5. IN THE RESULT, THE APPEAL FILED BY THE ASS ESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 07.08. 2012 IMMEDIATELY AFTER COMPLETION OF THE HEARING. SD/ - (DIVA SINGH) JUDICIAL MEMBER DATED : 07/ 08/ 2012 3 ITA NO.1100/KOL/2012 SRI SAIBAL CHATTERJEE ASSESSMENT YEAR: 2005-06 COPY OF THE ORDER FORWARDED TO: 1. SRI SAIBAL CHATTERJEE, C/O- S.M.SURANA, ADVOCATE, P - 38, INDIA EXCHANGE PLACE, ARUN CHAMBER, 3 RD FLOOR, KOLKATA 700 001 2 I.T.O., WARD-24(3),KOLKATA 3. CIT(A)- ,KOLKATA 4. CIT- , KOLKATA 5. DR, KOLKATA BENCHES, KOLKATA (TRUE COPY) BY ORDER ASSISTANT REGISTRAR, I.T.A.T., KOLKA TA. TALUKDAR/SR.P.S.