ITO, W-6(1), Ludhiana V. M/s Bronze Logistics Pvt. Ltd., Ludhiana

ITA 1260/CHANDI/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 2605 (ITAT-CHANDIGARH)
• Duration Of Justice: 5 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-03-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 03-10-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: ASHISH GUPTA
• Section: 271(1)(c)

Judgement Text

, , ' IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, A, CHANDIGARH . . , , BEFORE SHRI N.K. SAINI, VICE PRESIDENT & SHRI SANJ AY GARG, JUDICIAL MEMBER ./ ITA NO. 1260/CHD/2018 ! / ASSESSMENT YEAR : 2006-07 THE ITO , WARD-6(1), LUDHIANA VS. '# BRONZE LOGISTICS PVT. LTD., 863, INDL-A, LUDHIANA PAN NO. AABCB9505H $%/ APPELLANT '( ) * /ASSESSEE BY : SHRI ASHISH GUPTA, CIT DR ) * / REVENUE BY : SH. SUDHIR SEHGAL, ADVOCATE. + , ) (-. /DATE OF HEARING : 06.03.2019 /0! ) (-. / DATE OF PRONOUNCEMENT : 08. 03.2019 / ORDER THIS IS AN APPEAL BY THE DEPARTMENT AGAINST THE ORD ER DATED 19.7.2018 OF THE COMMISSIONER OF INCOME TAX (APPEAL S)-2, LUDHIANA 2. FOLLOWING GROUNDS HAVE BEEN RAISED IN THIS APPE AL: I) WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE THE LD. CIT(A), LUDHIANA HAS ERRED IN LAW AND ON THE FACTS IN DELETING PENALTY IMPOSED U/S 271(1)(C) OF THE INCOME-TAX ACT, 1961 OF RS. 9,20,10,830/-. II) THAT THE APPELLANT CRAVES LEAD TO ADD OR AMEND ANY GROUND OF APPEAL BEFORE IT IS FINALLY DISPOSED OFF. 3. DURING THE COURSE OF HEARING, THE LD. COUNSEL F OR THE ASSESSEE AT THE VERY OUTSET HAS STATED THAT THE ADDITIONS ON THE B ASIS OF WHICH THE PENALTY U/S 271(1)(C) OF THE I.T. ACT. 1961 WAS LEVIED BY T HE ASSESSING OFFICER WAS ITA NO. 1260-CHD-2018 BRONZE LOGISTICS PVT LTD., LUDHIANA 2 DELETED BY THE ITAT AND THE RELEVANT FINDINGS HAS B EEN GIVEN BY THE LD. CIT(A) IN PAR 5.2 OF THE IMPUGNED ORDER. 4. IN HIS RIVAL SUBMISSIONS THE LD. DR SUPPORTED THE ORDERS O F THE ASSESSING OFFICER. 5. AFTER CONSIDERING THE SUBMISSIONS OF BOTH THE P ARTIES AND MATERIAL ON RECORD, IT IS AN ADMITTED FACT THAT THE ADDITION ON THE BASIS OF WHICH THE PENALTY U/S 271(1)(C) OF THE ACT WAS LEVIED BY THE ASSESSING OFFICER HAS BEEN DELETED BY THE ITAT. 6. ON A SIMILAR ISSUE, THE HON'BLE SUPREME COURT IN THE CASE OF K. C. BUILDERS & OTHERS VS ACIT (2004) 265 ITR 562 HAS HE LD AS UNDER:- WHERE THE ADDITIONS MADE IN THE ASSESSMENT ORDER ON THE BASIS OF WHICH PENALTY FOR CONCEALMENT IS LEVIED, ARE DELETED, THERE REMAINS NO BASIS AT ALL FOR LEVYING PENALTY FOR CONCEALMENT AND, THEREFORE, IN SUCH A CASE NO PENALTY CAN SURVIVE AND THE PENALTY IS LIABLE TO BE CANCELLED. ORDINARILY, PENALTY CANN OT STAND IF THE ASSESSMENT ITSELF IS SET ASIDE. 7. SO RESPECTFULLY FOLLOWING THE RATIO LAID DOWN BY THE HON'BLE APEX COURT IN THE AFORESAID REFERRED TO CASE, WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF THE LD. CIT(A). ACCORDINGLY, WE DO NOT SEE ANY MERIT IN THE APPEAL OF THE DEPARTMENT. IN THE RESULT, THE APPEAL OF THE DEPARTMENT IS DISM ISSED. (ORDER PRONOUNCED IN THE COURT ON 08.03.2019) SD/- SD/- . . ' (SANJAY GARG ) (N.K. SA INI) # $/ JUDICIAL MEMBER %&' / VICE PRESIDENT DATED : 08.03.2019 .. ITA NO. 1260-CHD-2018 BRONZE LOGISTICS PVT LTD., LUDHIANA 3 1 ) 2(34 54!( / COPY OF THE ORDER FORWARDED TO : 1. $% / THE APPELLANT 2. 26$% / THE RESPONDENT 3. + 7( / CIT 4. + 7( ( )/ THE CIT(A) 5. 48 2(9 , - 9 , :;<= / DR, ITAT, CHANDIGARH 6. < >, / GUARD FILE 1 + / BY ORDER, ? / ASSISTANT REGISTRAR