Calcutta Tent Manufacturing Co., Kolkata V. Addl. CIT, Range - 44, Kolkata , Kolkata

ITA 182/KOL/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 4776 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2005-2006
• Appeal Filed On: 06-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAUARABH KUMAR
• Section: 271D; 271E

Judgement Text

, C , IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH C KOLKATA BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND DR. A.L. SAINI, ACCOUNTANT MEMBER ITA NO. 182 - 18 3 / KOL / 20 18 ASSESSMENT YEAR :2005-06 CALCUTTA TENT MANUFACTURING CO., 1, CHITPUR GHAT LANE, KOLKAA-700002 [ PAN NO.AABFC 7917 K ] V/S . ACIT, RANGE-44 3, GOVT. PLACE (W), KOLKATA-700001 /APPELLANT .. / RESPONDENT /BY APPELLANT NONE /BY RESPONDENT SHRI SAUARABH KUMAR, ADDL. CIT-DR /DATE OF HEARING 15-01-2019 /DATE OF PRONOUNCEMENT 15-02-2019 / O R D E R PER S.S.GODARA, JUDICIAL MEMBER:- THESE ASSESSEES APPEAL FOR ASSESSMENT YEAR 2005-06 ARISES FROM THE COMMISSIONER OF INCOME TAX (APPEALS)-21 KOLKATAS S EPARATE ORDERS; DATED 13.12.2017, PASSED IN CASE NO.1379-1378/ADDL.CIT,R- 41/CIT(A)- 21/KOL/2005-06 AFFIRMING ASSESSING OFFICERS ACTION (S) LEVYING U/S 271D & 271E PENALT(IES); RESPECTIVELY INVOLVING U/S 271D R .W.S. 271E OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. CASE CALLED TWICE. THE ASSESSEE DOES NOT PUT IN APP EARANCE DESPITE THE FACT THAT THE REGISTRY HAS ALREADY SENT AN RPAD NOTICE DATED 13.12.2018. IT IS ACCORDINGLY PROCEEDED EX PARTE . 2. LEARNED DEPARTMENTAL REPRESENTATIVE VEHEMENTLY C ONTENDS DURING THE COURSE OF HEARING THAT BOTH THE LOWER AUTHORITIES H AVE RIGHTLY PENALIZED THE ASSESSEE HAVING RECEIVED A REPAID CASH OF 57,000/- & 62,000/- U/S 271D AND 271E OF THE ACT. IT TRANSPIRES AT THE OUTSET DU RING THE COURSE OF HEARING ITA NO. 182-183/KOL/2018 A.Y. 2005-06 CALCUTTA TENT MANUFACTURING CO. VS. ACI T, RNG-44 PAGE 2 THAT NONE OF THE ASSESSEES CASH TRANSACTIONS IN BO TH RECEIVING AS WELL AS REPAYING LOAN EXCEEDS 20,000/- STATUTORY LIMIT PRESCRIBED U/S.269SS AND U /S 269T OF THE ACT. THE ASSESSEE HAD OBTAINED ITS CASH LOAN FROM RELATIVES OF ITS PARTNERS. HON'BLE RAJASTHAN HIGH COURTS DECISION I N CIT VS. RAJ KUMAR SHARMA (2007) 294 ITR 131 (RAJ) HOLDS THAT THE IMPUGNED P ENALT(IES) ARE NOT SUSTAINABLE IN CASE THE TRANSACTIONS IN QUESTION DO NOT EXCEED THE SPECIFIED LIMIT OF 20,000/-. THE ASSESSEE THEREIN HAD TAKEN AGGREGATE LOAN(S) OF 90,000/- IN THE RELEVANT PREVIOUS FORMING SUBJECT-M ATTER OF ADJUDICATION. WE THEREFORE CONCLUDE IN THE INSTANT CASE AS WELL THAT BOTH THE LOWER AUTHORITIES HAVE ERRED IN IMPOSING SEC. 271D AND WHILST 271E PE NALTY IN ISSUE. THE SAME ARE DIRECTED TO BE DELETED. 3. THESE TWO ASSESSEES APPEALS ARE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT 15/ 02/2019 SD/- SD/- ( %) (' %) (DR.A.L. SAINI) (S.S.GODARA) (ACCOUNTANT MEMBER) (JUDICIAL MEMBER) KOLKATA, *DKP, SR.P.S (- 15 / 02 /201 9 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-CALCUTTA TENT MANUFACTURING CO. 1, CHITP UR GHAT LANE, KOLKATA-002 2. /RESPONDENT-ACIT, RANGE-44, 3, GOVT. PLACE (W), KOL KATA-001 3. 3 4 / CONCERNED CIT KOLKATA 4. 4- / CIT (A) KOLKATA 5. 7 ''3, 3, / DR, ITAT, KOLKATA 6. < / GUARD FILE. BY ORDER/ , /TRUE COPY/ / 3,