SHRI OM PRKASH MALIK, THANE V. ITO 2(3), THANE

ITA 166/MUM/2013

• Counselvise Citation: 16619914 RSA 2013
• Duration Of Justice: 1 year(s) 11 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 16-12-2014
• Assessment Year: 2007-2008
• Appeal Filed On: 04-01-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NEIL PHILIPDR
• Assessee Lawyers: H S RAHEJA
• Section: 54B; 154

Judgement Text

, , ,, , , ,, , IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES E MUMBAI , . . , BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER AND SHRI R.C.SHARMA, ACCOUNTANT MEMBER . / ITA NO.166/MUM/2013 ! ! ! ! ' ' ' ' / ASSESSMENT YEAR: 2007-08 SHRI OM PRAKASH MALIK, FLAT NO.116, WING D, ARPAN-II, JESAL PARK, BHAYANDAR(E) DIST-THANE-400602 VS. ITO-2(3), QURESHI MANSION, GR. FLOOR, GOKHALE ROAD, THANE-400602 ( !#$ / ASSESSEE) ( % / REVENUE) P.A. NUMBER : AHPPM9301E ( !#$ & ' / ASSESSEE BY SHRI H.S. RAHEJA % & ' / REVENUE BY: SHRI NEIL PHILIP-DR ! & $( / DATE OF HEARING : 16/12/2014 )*' & $( / DATE OF PRONOUNCEMENT : 18/12/2014 O R D E R PER JOGINDER SINGH, JM: THE ASSESSEE IS AGGRIEVED BY THE IMPUGNED ORDER DAT ED 05/07/2012 OF THE LD. FIRST APPELLATE AUTHORITY, MU MBAI, UPHOLDING THE ACTION OF THE ASSESSING OFFICER REJEC TING THE APPLICATION FOR RECTIFICATION U/S 154 OF THE ACT BY HOLDING THAT THERE WAS NO MISTAKE APPARENT FROM RECORD WITHIN THE MEANING OF SECTION 154 OF THE INCOME TAX ACT, 1961(HEREINAFTER THE ACT), 2 SHRI OM PRAKASH MALIK . THEREBY, DENYING THE CLAIMED EXEMPTION U/S 54B OF T HE ACT AMOUNTING TO RS.15,59,990/-. 2. AT THE TIME OF HEARING, SHRI H.S.RAHEJA, LD. COU NSEL FOR THE ASSESSEE, ADVANCED HIS ARGUMENTS IDENTICAL TO THE G ROUND RAISED BY SUBMITTING THAT AT LEAST THE APPLICATION FILED U /S 154 OF THE ACT SHOULD HAVE BEEN CONSIDERED ON THE BASIS OF MATERIA L AVAILABLE ON RECORD. ON THE OTHER HAND, THE LD. DR, SHRI NEIL P HILIP, DEFENDED THE CONCLUSION ARRIVED AT BY THE ASSESSING OFFICER AS WELL AS IN THE IMPUGNED ORDER BY SUBMITTING THAT THERE WAS NO APPARENT MISTAKE IN THE RECORD, THEREFORE, THE APPLICATION F ILED BY THE ASSESSEE U/S 154 OF THE ACT WAS RIGHTLY REJECTED. 2.1. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND P ERUSED THE MATERIAL AVAILABLE ON RECORD. THE FACTS, IN BR IEF, ARE THAT THE ASSESSEE, AN INDIVIDUAL, FILED E-RETURN SHOWING INC OME OF RS.1,14,700/- ON 07/09/2007 ON WHICH THE TAX LIABILI TY WAS WORKED OUT AT RS.1,499/-. THE RETURN WAS PROCESSED U/S 143(1) OF THE ACT ON 09/06/2008. THE TOTAL INCOME WAS WORKE D OUT AT RS.16,74,692/- AND THE TAX AND INTEREST PAYABLE WAS SHOWN AT RS.4,13,368/-. THE ASSESSEE OBJECTED TO THE DEMAND RAISED BY THE REVENUE BY PROCESSING THE RETURN U/S 143(1) OF THE ACT. THE CONTENTION OF THE ASSESSEE WAS THAT HE HAS EARNED L ONG TERM CAPITAL GAINS, ON THE SALE OF AGRICULTURE LAND, AMO UNTING TO RS.15,59,990/- AND INVESTED THE AMOUNT OF RS.16 LAK H FOR PURCHASE OF ANOTHER AGRICULTURE LAND AND THUS CLAIM ED EXEMPTION U/S 54B OF THE ACT FOR THE FULL AMOUNT OF THE CAPIT AL GAINS. THE 3 SHRI OM PRAKASH MALIK . GRIEVANCE OF THE ASSESSEE IS THAT THE ASSESSEE IS L EGITIMATELY ENTITLE TO CLAIMED EXEMPTION U/S 54B OF THE ACT. I N VIEW OF THE DENIAL OF THE CLAIMED EXEMPTION, THE ASSESSEE FILED A APPLICATION U/S 154 OF THE ACT FOR RECTIFICATION OF THE MISTAKE WHICH WAS APPARENT FROM RECORD. HOWEVER, THE LD. ASSESSING O FFICER REJECTED THE APPLICATION MERELY ON THE GROUND THAT THERE WAS NO APPARENT MISTAKE IN PROCESSING THE RETURN U/S 143 (1) OF THE ACT. WITHOUT GOING IN TO MUCH DELIBERATION AND MERIT OF THE APPE AL, WE FIND FORCE IN THE ARGUMENT OF THE ASSESSEE, THEREFORE, D IRECT THE ASSESSING OFFICER TO EXAMINE THE CLAIM OF THE ASSES SEE AFRESH AND DECIDE THE APPEAL ON MERIT FOR WHICH DUE OPPORTUNIT Y OF BEING HEARD BE PROVIDED TO THE ASSESSEE. THE ASSESSEE IS ALSO AT LIBERTY TO FURNISH EVIDENCE, IF ANY, TO SUBSTANTIATE ITS CL AIM, CONSEQUENTLY, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. FINALLY, APPEAL OF THE ASSESSEE IS ALLOWED FOR STAT ISTICAL PURPOSES. THIS ORDER WAS PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF LD. REPRESENTATIVES FROM BOTH SIDES AT THE CONCL USION OF THE HEARING ON 16/12/2014. SD/- SD/- (R.C.SHARMA) ( JOGINDER SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED - 18/12/2014 F{X~{T? P.S/. ! . . & && & +$, +$, +$, +$, -,'$ -,'$ -,'$ -,'$ / COPY OF THE ORDER FORWARDED TO : 1. ./ / THE APPELLANT 2. +0./ / THE RESPONDENT. 4 SHRI OM PRAKASH MALIK . 3. 1 ( ) / THE CIT(A)- 4. 1 / CIT 5. ,23 +$! , , / DR, ITAT, MUMBAI 6. 34 5 / GUARD FILE. ! ! ! ! / BY ORDER, 0,$ +$ //TRUE COPY// 6 66 6 / 7 7 7 7 % % % % (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI