Textile Traders Co.Op. Bank Ltd., Ahmedabad V. The Director of Income Tax , (I & CI), Ahmedabad

ITA 1500/AHD/2015

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 6160 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 8 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-02-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 26-05-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: DHIRAJLAL SHAH
• Keywords: Period of limitation; Time period of passing order

Judgement Text

, A , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD .. , , BEFORE SHRI S.S. GODARA, JUDICIAL MEMBER & SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER ! ' ./ I.T.A. NO.1500/AHD/2015 ( / ASSESSMENT YEAR : 2014-15) TEXTILE TRADERS COOP. BANK LTD., 6VASANTI VIHAR SOCIETY, NR. MITHAKHALI 6 ROAD, NAVRANGPURA, AHMEDABAD / VS. THE DIRECTOR OF INCOME TAX (I&CI), AHMEDABAD $ ./ %!&! ./ PAN/GIR NO. : AABAT1016F ( ' $' / APPELLANT ) .. ( ($' / RESPONDENT ) ' $' ) / APPELLANT BY : SHRI DHIRAJLAL SHAH, A.R ($' * ) / RESPONDENT BY : SHRI DINESH SINGH, SR.DR + , * - / DATE OF HEARING 29/01/2018 ./0 * - / DATE OF PRONOUNCEMENT 01/ 02 /2018 ! 1 / O R D E R PER PRADIP KUMAR KEDIA - AM: THE CAPTIONED APPEAL HAS BEEN FILED AT THE INSTAN CE OF THE ASSESSEE AGAINST THE IMPOSITION OF PENALTY OF RS. 2 7,100/- UNDER SECTION 271FA OF THE ACT BY THE DIRECTOR OF INCOME TAX (I&C I) [DIT IN SHORT] AHMEDABAD VIDE ITS ORDER DATED 24.03.2015. ITA NO.1500/AHD /2015 TEXTILE TRADERS COOP. BANK LTD. VS. DIT(I&CI) ASST.YEAR 2014-15 - 2 - 2. IT WAS NOTICED BY THE DIT THAT THE ASSESSEE HAS FAILED TO FILED CERTAIN FINANCIAL STATEMENTS THE PRESCRIBED MANNER AND FURNISH THE SAME TO THE AGENCY AUTHORIZED TO RECEIVE SUCH RETU RNS ON OR BEFORE 31.08.2014 CONCERNING F.Y. 2013-14. THE DIT ACCORDI NGLY IMPOSED PENALTY OF RS. 27,700/- BY INVOKING SECTION 271FA O F THE ACT FOR PERIOD OF DEFAULT COMMITTED BY THE ASSESSEE. 3. AGGRIEVED ASSESSEE PREFERRED APPEAL BEFORE THE T RIBUNAL. 4. WITH THE ASSISTANCE WITH THE LD. AUTHORISED REPR ESENTATIVE FOR THE ASSESSEE AND LD. DEPARTMENTAL REPRESENTATIVE FO R THE REVENUE, WE FIND THAT THE ASSESSEE WAS REQUIRED TO FILED THE PR ESCRIBED FORM (FORM 61A) WITH THE AGENCY (NSDL) AUTHORIZED ON THIS BEHA LF IN CONFORMITY WITH RULE 114E OF THE INCOME TAX RULE 1962 READ WIT H SECTION 285BA OF THE ACT. THE DUE DATE FOR FILING THE STATEMENT O F FINANCIAL TRANSACTION IS STATED ON 31.08.2014 FOR THE RELEVANT FINANCIAL YEAR. WE FIND THAT THE ASSESSEE HAS FILED THE PRESCRIBED FORM BEFORE THE D UE DATE ON 14.08.2014 ALBEIT MANUALLY INSTEAD OF FILING THE SA ME ELECTRONICALLY WITH THE AUTHORIZED AGENCY AS REQUIRED. THUS, THE C OMPLIANCE OF THE STATUTORY LIMITATION PERIOD WAS MADE ALBEIT FRAUGHT WITH TECHNICAL DEFECTS. IT IS ALSO NOTICED THAT THE RETURN HAS BEE N ULTIMATELY UPLOADED ELECTRONICALLY ON 12.03.2015. THEREFORE THE REQUIRE MENT OF THE PROVISIONS OF LAW HAS BEEN BROADLY COMPLIED WITH. I N THESE FACTS, WE ITA NO.1500/AHD /2015 TEXTILE TRADERS COOP. BANK LTD. VS. DIT(I&CI) ASST.YEAR 2014-15 - 3 - FIND THAT THE ASSESSEE HAD MADE SUBSTANTIAL COMPLIA NCE OF THE REQUIREMENT OF LAW. THE ONLY SHORTFALL WAS THAT THE RETURN WAS FILED MANUALLY INSTEAD OF ELECTRONICALLY WHICH ALSO HAS B EEN ULTIMATELY CURED ALBEIT AT A SUBSEQUENT DATE. THEREFORE, WE AR E OF THE OPINION THAT THE DESIGNATED AUTHORITY OUGHT TO HAVE EXERCISED IT S DISCRETION FOR IMPOSITION OF PENALTY IN FAVOUR OF THE ASSESSEE AND NOT OTHERWISE. HENCE, WE CANCEL THE PENALTY IMPOSED UNDER SECTION 271FA IN THE CIRCUMSTANCES OF THE CASE. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED . THIS ORDER PRONOUNCED IN OPEN COURT ON 01/ 02/2018 SD/- SD/- (.. ) ( ) ( S.S. GODARA ) (PRADIP KUMAR KEDIA) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD; DATED 01/02/2018