DCIT, Bangalore V. M/s Cyber park Development & Construction Pvt Ltd., Bangalore

ITA 1277/BANG/2015

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 0173 (ITAT-BANGALORE)
• Duration Of Justice: 9 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-07-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 30-06-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 13-10-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PADAMCHAND KHINCHA
• Assessee Lawyers: P RENEYADEVI JT
• Section: 260A; 263

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI A.K. GARODIA, ACCOUNTANT MEMBER ITA NO.1277/BANG/2015 ASSESSMENT YEAR : 2006-07 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 2(1)(1), BANGALORE. VS. M/S. CYBER PARK DEVELOPMENT & CONSTRUCTION PVT. LTD., PLOT NO.76 & 77, 5 TH FLOOR, ELECTRONIC CITY, PHASE-1, HOSUR MAIN ROAD, BANGALORE 560 100. PAN: AACCC 1113H APPELLANT RESPONDENT APPELLANT BY : SHRI PADAMCHAND KHINCHA, CA RESPONDENT BY : SMT P. RENEYADEVI, JT. CIT(DR) DATE OF HEARING : 30.06.2016 DATE OF PRONOUNCEMENT : 29.07.2016 O R D E R PER SUNIL KUMAR YADAV, JUDICIAL MEMBER THIS APPEAL IS PREFERRED BY THE REVENUE AGAINST T HE ORDER DATED 16.07.2015 OF THE CIT(APPEALS)-2, BENGALURU FOR THE ASSESSMENT YEAR 2006-07 INTER ALIA ON THE FOLLOWING GROUNDS:- 1. THE ORDER OF THE LD. CIT(A) IS CONTRARY TO THE FACTS AND CIRCUMSTANCES OF THE CASE AND HENCE NOT SUSTAINABLE . 2. THE CIT(A) HAS ERRED IN RELYING ON THE ORDERS PA SSED BY THE HON'BLE ITAT, BANGALORE BENCH 'A' FOR THE A.Y.S 2006-07 AND 2007-08 IN THE ASSESSEE'S CASE AGAINST THE ORDE RS U/S.263 OF THE ACT PASSED BY THE COMMISSIONER OF INCOME TAX, B ANGALORE - ITA NO.1277/BANG/2015 PAGE 2 OF 3 I, BANGALORE, AND HAS STATED THAT THE CIT(A) FINDS MERIT IN THE APPELLANT'S PLEA THAT THE REVISED ASSESSMENT EARS ( SIC) PASSED BY THE AO'S U/S.143(3) R.W.S.263 OF THE ACT UNDER APPE AL BECOME NULL AND VOID AND DO NOT SURVIVE. THE CIT(A) CANCEL LED THE REASSESSMENT ORDERS PASSED BY THE AO'S UNDER APPEAL FOR THE A.Y.S 2006-07 AND 2007-08 AS THE APPEAL U/S. 260A H AS BEEN FILED FOR A.Y.S 2006-07 AND 2007-08 AGAINST THE ORD ER PASSED BY THE HON'BLE ITAT QUASHING THE ORDER U/S.263. 3) FOR THESE AND OTHER GROUNDS THAT MAY BE URGED A T THE TIME OF HEARING, IT IS PRAYED THAT THE ORDER OF THE CIT( A) IN SO FAR AS IT RELATES TO THE ABOVE GROUNDS MAY BE REVERSED AND TH AT OF THE ASSESSING OFFICER MAY BE RESTORED. 4) THE APPELLANT CRAVES LEAVE TO ADD, ALTER, AMEND AND/OR DELETE ANY OF THE GROUNDS MENTIONED ABOVE. 2. DURING THE COURSE OF HEARING, OUR ATTENTION WAS INVITED TO THE FACT THAT THE ORDER PASSED U/S. 263 OF THE INCOME-TAX AC T, 1961 [THE ACT] BY THE CIT WAS SET ASIDE BY THE TRIBUNAL. IN LIGHT OF THE ORDER OF THE TRIBUNAL, THE CIT(APPEALS) HAS ANNULLED THE ASSESSMENT WHICH HAS BEEN FRAMED CONSEQUENT TO THE ORDER OF THE CIT PASSED U/S. 263 OF THE ACT. THE APPEAL WAS FILED BY THE DEPARTMENT ONLY TO KEEP THE ISSUE ALIVE AS THEY HAVE PREFERRED AN APPEAL BEFORE THE HON'BLE HIGH COURT O F KARNATAKA AGAINST THE ORDER OF THE TRIBUNAL QUASHING THE ORDER U/S. 263 O F THE CIT. 3. HAVING CAREFULLY EXAMINED THESE FACTS, WE ARE OF THE VIEW THAT TILL THE OPERATION OF THE ORDER OF THE TRIBUNAL IS STAYED BY THE HONBLE HIGH COURT OF KARNATAKA, IT HOLDS THE FIELD AND THE ASSESSMENT OR DER PASSED CONSEQUENT THERETO DESERVES TO BE ANNULLED. WE THEREFORE FIND NO INFIRMITY IN THE ORDER OF CIT(APPEALS), WHO HAS RIGHTLY ANNULLED THE ASSES SMENT IN THE LIGHT OF THE ITA NO.1277/BANG/2015 PAGE 3 OF 3 ORDER OF THE TRIBUNAL QUASHING THE ORDER U/S. 263 O F THE ACT PASSED BY THE CIT. 4. IN THE RESULT, THE APPEAL BY THE REVENUE IS DISM ISSED. PRONOUNCED IN THE OPEN COURT ON THIS 29 TH DAY OF JULY, 2016. SD/- SD/- ( A.K. GARODIA ) (SUNIL KUMAR YA DAV ) ACCOUNTANT MEMBER JUDIC IAL MEMBER BANGALORE, DATED, THE 29 TH JULY, 2016. /D S/ COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, ITAT, BANGALORE.