Income-tax Officer, Ward - 7(3), Pune V. Ramesh Vitthal Galande and Others, Pune

ITA 1589/PUN/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 7422 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 7 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-01-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 22-06-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ARISE OUT OF S PASSED
• Section: 201; 12; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A , PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI S.S. VISWANETHRA RAVI , JUDICIAL MEMBER . / ITA NO S . 1589 & 1590 /PUN/201 7 / ASSESSMENT YEAR S : 20 11 - 12 & 201 2 - 1 3 ITO, WAR D - 7(3), PUNE VS. RAMESH VITTHAL GALANDE AND O THERS , F ORMER PARTNERS OF M/S. VITHALANJAN DEVELOPERS, S.NO.21, SAINIKWADI, VADGAON SHERI, PUNE - 411014 PAN : AA FFG1449K (APPELLANT) (RESPONDENT) / ORDER PER BENCH : TH ESE TWO APPEALS BY THE REVENUE ARISE OUT OF THE ORDERS PASSED BY THE CIT(A), PUNE - 5, PUNE ON 20 - 03 - 2017 IN RELATION TO THE ASSESSMENT YEARS 2011 - 12 AND 2012 - 13. BOTH THE APPEALS ARE BASED ON SIMILAR FACTS AND IDENTICAL GROUN DS . W E ARE, THEREFORE, PROCEEDING TO DISPOSE THEM OFF BY THIS CONSOLIDATED ORDER FOR THE SAKE OF CONVENIENCE. A SSESSEE BY NONE RE VENUE BY SHRI ALOK MAL VIYA DATE OF HEARING 3 1 - 0 1 - 20 20 DATE OF PRONOUNCEMENT 31 - 0 1 - 2020 ITA NO S . 1589 & 1590 / PUN/ 201 7 RAMESH V. GALANDE 2 2. THE ONLY GRIEVANCE RAISED IN THE PRESENT APPEAL S IS AGAINST THE DENIAL OF DEDUCTION U/S 80IB(10) OF THE INCOME - TAX ACT, 1961 (HEREINAFTER REFER RED TO AS THE ACT). 3 . BRIEFLY STATED, THE FACTS FOR THE ASSESSMENT YEAR 2011 - 12 ARE THAT THE ASSESSEE , AT MATERIAL TIME , WAS ENGAGED IN THE BUSINESS AS DEVELOPER AND BUILDER AND HAD CONSTRUCTED A RESIDENTIAL PROJECT CALLED LA GLORIOSA AT VADGAON SHERI , PUNE . D EDUCTION WAS CLAIMED U/S 80IB(10) OF THE ACT. THE AO OBSERVED IN PARA 4 OF THE ASSESSMENT ORDER FOR THE A.Y. 2011 - 12 THAT IN THE PROCEEDINGS RELATING TO THE PRECEDING YEAR FOR THE A.Y. 201 0 - 1 1 , HE HAD DISALLOWED THE ASSESSEES CLAIM OF DEDUCTION U/S 80IB(10) OF THE ACT AMOUNTING TO RS.3.05 CRORE AND ODD ON THE GROUND THAT THE ASSESSEE DID NOT COMPLETE THE ENTIRE PROJECT BEFORE THE STIPULATED PERIOD. ANOTHER FACTOR WHICH WAS TAKEN NOTE OF WAS THAT OF THE PARTIAL COMPLETION OF THE P ROJECT. SWAYED BY THE REASONS GIVEN FOR THE PRECEDING ASSESSMENT YEAR, THE AO DID NOT GRANT DEDUCTION U/S 80IB(10) OF THE ACT FOR THE YEARS UNDER CONSIDERATION AS WELL . THE LD. CIT(A) OVERTURNED THE ASSESSMENT ORDER S BY OBSERVING THAT THE TRIBUNAL HAS ACCEPTED THE ASSES SEES CLAIM QUA THE ASSESSMENT YEAR 2010 - 11. THE REVENUE IS AGGRIEVED BY THE ALLOWANCE OF DEDUCTION ITA NO S . 1589 & 1590 / PUN/ 201 7 RAMESH V. GALANDE 3 U/S 80IB(10) OF THE ACT BY THE LD. CIT(A) FOR BOTH THE YEARS UNDER CONSIDERATION. 4. WE HAVE HEARD THE LD. DR AND GONE THROUGH THE RELEVANT MATERIAL ON REC ORD . THERE IS NO APPEARANCE FROM THE SIDE OF ASSESSEE. FROM THE MATERIAL AVAILABLE ON RECORD, IT IS SEEN THAT THE AO DENIED THE BENEFIT OF DEDUCTION U/S 80IB(10) OF THE ACT ON THE GROUNDS SIMILAR TO THOSE OF THE ASSESSMENT YEAR 2010 - 11. THE MATTER FOR S UCH A N EARLIER YEAR CAME UP FOR CONSIDERATION BEFORE THE PUNE BENCH ES OF TRIBUNAL IN ITA NO.1909/PUN/2014. VIDE ORDER DATED 03.03.2017, THE TRIBUNAL HAS ACCEPTED THE ASSESSEES CLAIM AND ALLOWED THE CLAIM U/S 80IB(10) OF THE ACT. SINCE THE FACTS AND CIRC UMSTANCES OF THE INSTANT APPEALS ARE MUTATIS MUTANDIS SIMILAR TO TH OSE OF THE ASSESSMENT YEAR 2010 - 11, RESPECTFULLY FOLLOWING THE PRECEDENT, WE UPHOLD THE IMPUGNED ORDER S ON THIS SCORE. 5 . IN THE RESULT, THE APPEALS ARE DISMISSED. O RDER PRONOUNCED IN THE OPEN COURT ON 31 ST JANUARY , 20 20 . SD/ - SD/ - (S.S. VISWANETHRA RAVI) (R.S.SYAL) JUDICIAL MEMBER VICE PRESIDENT PUNE ; DATED : 31 ST J ANUARY , 20 20 GCVSR ITA NO S . 1589 & 1590 / PUN/ 201 7 RAMESH V. GALANDE 4 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. THE CIT(A) , PUNE - 5, PUNE 4 . 5. 6 . THE PR. CIT , PUNE - 4, PUNE , , / DR A , ITAT, PUNE; / GUARD FILE . / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE DATE 1. DRAFT DICTATED ON 3 1 - 0 1 - 20 20 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 3 1 - 0 1 - 2 0 20 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. J M 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11 . DATE OF DISPATCH OF ORDER. * *