VIDS OVERSEAS, MUMBAI V. ITO WD 25(1)(4), MUMBAI

ITA 1811/MUM/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 1671 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 5 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-09-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 15-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: POOJASWAROOP LD SR DR
• Assessee Lawyers: GAURAV KABRA LD
• Section: 143(3)

Judgement Text

ITA.NO.1811/MUM/2017 VIDS OVERSEAS ASSESSMENT YEAR-2012-13 IN THE INCOME TAX APPELLATE TRIBUNAL F BENCH, MUMBAI , BEFORE SHRI SAKTIJIT DEY, JM AND SHRI MANOJ KUMAR AGGARWAL, AM I.T.A. NO.1811/MUM/2017 ( ASSESSMENT YEAR: 2012-13) VIDS OVERSEAS 603-604 SAMARTH PRASAD BUILDING FOUR BUNGLOWS ROAD ANDHERI (W) MUMBAI-400 002 VS. INCOME TAX OFFICER - 25(1)(4) MUMBAI ! ' PAN/GIR NO. AAFFV-6086-L ( !# APPELLANT ) : ( $%!# RESPONDENT ) ASSESSEE BY : GAURAV KABRA, LD. AR REVENUE BY : POOJA SWAROOP, LD. SR. DR & DATE OF HEARING : 26/07/2018 '() / DATE OF PRONOUNCEMENT : 05/09/2018 O R D E R PER MANOJ KUMAR AGGARWAL (ACCOUNTANT MEMBER) 1. AFORESAID APPEAL BY ASSESSEE FOR ASSESSMENT YEAR [AY] 2012-13 CONTEST THE ORDER OF THE LD. COMMISSIONER OF INCOME -TAX (APPEALS)-37 [CIT(A)], MUMBAI, APPEAL NO.CIT(A)-37/IT-560/ITO-25(1)(4)/15-16 DATED 02/01/2017 QUA CONFIRMATION OF PENALTY U/S 271(1)(C) FOR RS.44,859 /- AS LEVIED BY LD. AO VIDE PENALTY ORDER DATED 24/09/201 5. THE ASSESSMENT ITA.NO.1811/MUM/2017 VIDS OVERSEAS ASSESSMENT YEAR-2012-13 2 FOR IMPUGNED AY WAS FRAMED BY LD. INCOME TAX OFFICER-25(1)(4), MUMBAI [AO] U/S 143(3) OF THE INCOME TAX ACT, 1961 WHEREIN THE ASSESSEE HAS BEEN SADDLED WITH QUANTUM ADDITIONS OF RS.1,44,720/- WHICH IS ADHOC ADDITION TO ACCOUNT FOR PERSONAL ELEMENT IN VARIOU S EXPENSES AS CLAIMED BY THE ASSESSEE DURING IMPUGNED AY. ANOTHER DISALLOWANCE OF RS.563/- HAS BEEN MADE U/S 14A. THE SE ADDITIONS HAVE ATTAINED FINALITY SINCE THE ASSESSEE HAS NOT CONTES TED THE SAME ANY FURTHER. AGAINST THESE ADDITIONS, THE ASSESSEE HAS BEEN SADDLED WITH IMPUGNED PENALTY OF RS.44,859/- WHICH, UPON CONFIRM ATION BY LD. FIRST APPELLATE AUTHORITY, IS UNDER APPEAL BEFORE US. 2. THE LD. AUTHORIZED REPRESENTATIVE [AR] FOR ASSES SEE, SHRI. GAURAV KABRA CONTESTED THE PENALTY WHICH HAS BEEN CONTROVERTED BY LD. DEPARTMENTAL REPRESENTATIVE [DR], MS. POOJA SWAROOP . 3. WE HAVE CAREFULLY HEARD THE RIVAL CONTENTIONS AN D PERUSED RELEVANT MATERIAL ON RECORD. UPON DUE CONSIDERATION, WE FIND THAT THE ASSESSEE HAS SUFFERED ADHOC DISALLOWANCES AGAINST VARIOUS EXPENSES AS CLAIMED BY HIM. NEVERTHELESS, THERE IS NO FURNISHING OF INACCURATE PARTICULARS OR CONCEALMENT OF INCOME WHICH WARRANT IMPOSITION OF PENALTY U/S 271(1)(C). MERE ADHOC DISALLOWANCE OF EXPENSES, IN OUR OPINION, DO NOT ATTRACT THE PENALTY UNLESS IT IS SHOWN THAT ANY OF THE CONDITION VIZ. FURNISHING OF INACCURATE PARTICULARS OR CONCEALMENT OF INCOME AS ENVISAGED BY SECTION 271(1)(C) IS FULFILLED. THE RA TIO AND PRINCIPLES LAID DOWN IN HONBLE SUPREME COURT RENDERED IN CIT VS. RELIANCE PETROPRODUCTS PVT. LTD. [2010 322 ITR 158] SQUARELY APPLIES TO THE FACTS OF THE CASE AND THEREFORE, WE DELETE THE IMPUGNED P ENALTY 4. RESULTANTLY, THE ASSESSEES APPEAL STANDS ALLOWE D. ITA.NO.1811/MUM/2017 VIDS OVERSEAS ASSESSMENT YEAR-2012-13 3 ORDER PRONOUNCED IN THE OPEN COURT ON 05 TH SEPTEMBER, 2018. SD/- SD/- (SAKTIJIT DEY) (M ANOJ KUMAR AGGARWAL) / JUDICIAL MEMBER / ACCOUNTANT MEMBER *& MUMBAI; DATED : 05.09.2018 SR.PS:-THIRUMALESH ! COPY OF THE ORDER FORWARDED TO : 1. !# / THE APPELLANT 2. $%!# / THE RESPONDENT 3. / THE CIT(A) 4. / CIT CONCERNED 5. + ,$ - -) *& / DR, ITAT, MUMBAI 6. , ./0 & GUARD FILE ' / BY ORDER, # '$ % (DY./ASSTT.REGISTRAR) *& / ITAT, MUMBAI