WABAN SOFTWARE P.LTD, MUMBAI V. ASST CIT CIR 11(3)(2), MUMBAI

ITA 1132/MUM/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 3002 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 5 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-08-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2010-2011
• Appeal Filed On: 17-02-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NISHANT SOMAIYA
• Assessee Lawyers: BHARAT RAICHANDANI; ANKITA VA SHISTHA
• Keywords: Depreciation; Business expenditure

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL G BENCH, MUMBAI BEFORE SHRI B.R. BASKARAN (AM) & SHRI PAWAN SINGH (JM) I.T.A. NO. 1132 /MUM/20 17 (ASSESSMENT YEAR 20 10 - 11 ) WABAN SOFTWARE PVT. LTD. C/O. ORACLE INDIA PVT. LTD. 6 TH FLOOR, SILVER METROPOLIS OPP. BIMBI SAR NAGAR OLD JAY COACH COMPOUND WESTERN EXPRESS HIGHWAY GOREGAON EAST MUMBAI - 400 063. PAN : AAACW5953D V S . ACIT CIRCLE 11(3)(2) MUMBAI. ( APPELLANT ) ( RESPONDENT ) A SSESSEE BY SHRI BH ARAT RAICHANDANI & MS. ANKITA VA SHISTHA DEPARTMENT BY S HRI NI SHANT SOMAIYA DATE OF HEARING 16 . 0 8 . 201 8 DATE OF PRONOUNCEMENT 16 . 0 8 . 201 8 O R D E R PER B.R. BASKARAN (AM) : - THE APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 7.11.2016 PASSED BY THE LEARNED CIT(A) - 18, MUMBAI CONFIRMING THE PENALTY OF ` 19 .00 LAKHS LEVIED BY THE ASSESSING OFFICER U/S. 271(1)(C) OF THE I.T. ACT. 2. WE HAVE HEARD THE PARTIES AND PERUSED THE RECORD. THE ASSESSING OFFICER LEVIED PENALTY ON DISALLOWANCE OF DEPRECIATION CLAIM OF ` 55,37,490/ - AND DISALLOWANCE OF BUSINESS EXPENSES OF ` 93,945/ - . IN THE APPELLATE PROCEEDINGS, THE LEARNED CIT(A) CONFIRMED THE PENALTY LEVIED BY THE ASSESSING OFFICER. 3. THE L EARNED AR SUBMITTED THAT THE ASSESSEE HAS CHALLENGED THE DISALLOWANCE S MADE IN THE QUANTUM A SSESSMENT PROCEEDI NGS AND CONFIRMED BY THE LEARNED CIT(A) BY FILING THE APPEAL BEFORE THE ITAT. HE SUBMITTED THAT THE TRIBUNAL HAS SINCE PASSED THE ORDER IN THE QUANTUM ASSESSMENT PROCEEDINGS. HE SUBMITTED THAT THE TRIBUNAL, VIDE ITS ORDER DATED 12.4.2017, PASSED IN ITA WABAN SOFTWARE PVT. LTD. 2 NO. 2011/MUM/2014 HAS RESTORED THE MATTER RELATING TO DISALLOWANCE OF DEPRECIATION TO THE FILE OF THE LEARNED CIT(A) AND CONFIRMED THE ADDITION RELATING TO DISALLOWANCE OF EXPENSES. 4. WE HAVE HEARD LEARNED DR AND PERUSED THE RECORD. SINCE THE MATTER RELATI NG TO DISALLOWANCE OF DEPRECIATION HAS BEEN RESTORED BY THE TRIBUNAL IN THE QUANTUM ASSESSMENT PROCEEDINGS TO THE FILE OF THE LEARNED CIT(A), WE ARE OF THE VIEW THAT THE PENALTY RELATING THERETO SHOULD ALSO BE RESTORED TO THE FILE OF THE FIRST APPELLATE AU THORITY FOR ADJUDICATING THE SAME AFRESH . ACCORDINGLY, WE RESTORE THE ISSUE RELATING TO LEVY OF PENALTY ON THE DISALLOWANCE OF DEPRECIATION TO THE FILE OF THE LEARNED CIT(A) . PENALTY LEVIED ON THE DISALLOWANCE OF EXPENSES WAS NOT AGITATED BEFORE US BY THE ASSESSEE AND HENCE, THE SAME IS CONFIRMED. 5. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS TREATED AS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER HAS BE EN PRONOUNCED IN THE COURT ON 16 . 8 .201 8 . SD/ - SD/ - (PAWAN SINGH ) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; DATED : 16 / 8 / 20 1 8 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. CIT 5. DR, I TAT, MUMBAI 6. GUARD FILE. BY ORDER, //TRUE COPY// SENIOR P RIVATE S ECRETARY PS ITAT, MUMBAI