ACIT Central Circle-II, Noida V. Swati Health and Education Services Pvt. Ltd., Delhi

ITA 1231/DEL/2022

AI Insights

The case involves multiple appeals by the Revenue against the order of the Commissioner of Income Tax (Appeals)-4, Kanpur, which had deleted the additions made by the Assessing Officer concerning loans and share application money received by M/s. Swati Health and Education Services Pvt. Ltd. The appeals pertain to the assessment years 2009-10, 2010-11, 2013-14, and 2014-15. During the proceedings, it was noted that the matter had been admitted by the NCLT under the IBC, leading to a moratorium that affected the ongoing legal processes. Consequently, the Tribunal dismissed the Revenue's appeals as infructuous, allowing for potential revival post the NCLT's final decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 129832 (ITAT-DELHI)
• Duration Of Justice: 10 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-04-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 25-04-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 26-05-2022
• Other Referred Cases: ITA. No. 651/Del/2022
• Laws Referred To: Insolvency and Bankruptcy Code, 2016
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

ITA. Nos. 1229 TO 1232/Del/2022 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “G” NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER आ.अ.सं .I.T.A Nos. 1229, 1230, 1231 & 1232/Del/2022 िनधाᭅरण वषᭅ/Assessment Year:2009-10,2010-11,2013-14 & 2014-15 ACIT, Central Circle : 2, Noida. बनाम Vs. M/s. Swati Health and Education Services Pvt. Ltd. D-14, 2 nd Floor, Preet Vihar, New Delhi – 110092. PAN No. AAJCS7569L अपीलाथᱮ/ Appellant ᮧ᭜यथᱮ/ Respondent िनधाᭅᳯरतीकᳱओरसे / Assessee by : Shri Markandey Kumar Singh, Advocate; राज᭭वकᳱओरसे / Department by : Shri B. M. Singh, Sr. D. R.; सुनवाईकᳱतारीख/ Date of hearing : 26.04.2023 उ᳃ोषणाकᳱतारीख/Pronouncement on : 26.04.2023 आदेश / O R D E R PER BENCH : 1. These appeals are filed by the Revenue against the order of the ld. Commissioner of Income Tax (Appeals)-4 [hereinafter ITA. Nos. 1229 TO 1232/Del/2022 2 referred to CIT (Appeals)] Kanpur, dated 14.02.2022 for assessment years 2009-10, 2010-11, 2013-14 and 2014-15 in deleting the additions made by the Assessing Officer in respect of loans received by the assessee, share application money introduced by the assessee. 2. At the time of hearing the ld. Counsel submitted that the Tribunal for the assessment year 2009-10 in ITA. No. 651/Del/2022 dismissed the appeal of the assessee by order dated 24.02.2023 for the reason that National Company Law Tribunal (NCLT) Principal Bench, New Delhi, had admitted the application in terms of section 7 of Insolvency and Bankruptcy (IBC), 2016 and imposed moratorium as envisaged under the provisions of section 14(1) of IBC. The ld. Counsel submits that following the order of the Tribunal the present appeals of the Revenue may also be dismissed as infructuous. 3. The ld. DR has no serious objection in following the order of the Tribunal for the assessment year 2009-10 and treating the appeals as infructuous. However, he requested that liberty may be given to the Revenue to revive the appeals after the proceedings before the NCLT are concluded. 4. We have heard the rival submissions perused the order of the Tribunal for the assessment year 2009-10 in ITA. No. 651/Del/2022. We observe that the Tribunal dismissed the appeal of the assessee for the assessment year 2009-10 observing that the matter has reached NCLT, Principal Bench, New Delhi, in IB-1035(PB)/2020 dated 4.03.2022 and the Tribunal had admitted the application in terms of section 7 of IBC, 2016 moratorium as per the provisions of ITA. Nos. 1229 TO 1232/Del/2022 3 section 14(1) of IBC and hence the appeal was dismissed as infructuous. Considering the rival contentions and following the order of the Tribunal we treat these appeals as dismissed with liberty to the parties to seek revival of these appeals on final conclusion of the proceedings before the NCLT. 5. In the result, these appeals are dismissed as indicated above. Order pronounced in the open court on : 26/04/2023. Sd/- Sd/- ( SHAMIM YAHYA ) ( C. N. PRASAD ) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated : 26/04/2023 *MEHTA* Copy forwarded to : 1. Appellant; 2. Respondent; 3. CIT 4. CIT (Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, New Delhi. Date of dictation 26.04.2023 Date on which the typed draft is placed before the dictating member 26.04.2023 ITA. Nos. 1229 TO 1232/Del/2022 4 Date on which the typed draft is placed before the other member 26.04.2023 Date on which the approved draft comes to the Sr. PS/ PS 26.04.2023 Date on which the fair order is placed before the dictating member for pronouncement 26.04.2023 Date on which the fair order comes back to the Sr. PS/ PS 26.04.2023 Date on which the final order is uploaded on the website of ITAT 26.04.2023 Date on which the file goes to the Bench Clerk 26.04.2023 Date on which the file goes to the Head Clerk The date on which the file goes to the Assistant Registrar for signature on the order Date of dispatch of the order