SIMRANPAL KAUR, MUMBAI V. CIT 27, NAVI MUMBAI

ITA 1830/MUM/2015

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 9651 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 5 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-09-2017
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: E
• Next Hearing Date: 05-07-2017
• Assessment Year: 2005-2006
• Appeal Filed On: 27-03-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Assessment record
• Section: 143(3); 263

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL E , BENCH MUMBAI BEFORE SHRI R.C.SHARMA, AM & SHRI SANDEEP GOSAIN , JM ITA NO. 1830 / MUM/20 1 5 ( ASSESSMENT YEAR : 2005 - 06 ) SMT. SIMRANPAL KAUR, BUNGLOW NO.3, MOUNT VIEW ROAD, CHS, MANKHURD, MUMBAI 400 088 VS. CIT 27, R.NO.301, 3 RD FLOOR, TOWER NO.6, VASHI RAILWAY STATION COMPLEX, VASHI NAVI MUMBAI 400 073 PAN/GIR NO. AAKPB1715H APPELLANT ) .. RESPONDENT ) ASSESSEE BY NONE REVENUE BY SHRI BHUPENDRA KUMAR SINGH DATE OF HEARING 06/09/ 201 7 DATE OF PRONOUNCEME NT 21 / 09 /201 7 / O R D E R PER R.C.SHARMA (A.M) : THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF CIT(A) - 27, MUMBAI DATED 28/01/2015 FOR A.Y.2005 - 06 IN THE MATTER OF ORDER PASSED U/S.263 OF THE IT ACT. 2. NOBODY APPEARED ON BEHALF OF THE ASSESSEE INSPITE OF GIVING OPPORTUNITY. EVEN ON EARLIER TWO OCCASIONS I.E., ON 16/02/2017 AND 05/07/2017, THE APPEAL WAS FIXED AND NOTICE WAS ISSUED THROUGH RPAD, HOWEVER , NOBODY APPEARED ON BEHALF OF ASSESSE E NOR ANY ADJOURNMENT PETITION WAS FILED. THE BENCH THEREFORE, DECIDED TO DISPOSE THE APPEAL AFTER HEARING LEARNED DR AND CONSIDERING THE MATERIAL PLACED ON RECORD. ITA NO. 1830/MUM/2015 SMT. SIMRANPAL KAUR 2 3. WE HAVE HEARD LEARNED DR AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. FACTS IN BRIEF ARE THAT RETURN OF INCOME WAS FILED ON 26/03/2007 DECLARING THE TOTAL INCOME AT RS. 3,69,417 / - . THEREAFTER , THE CASE WAS REOPENED AFTER RECORDING THE REASONS AND ACCORDINGLY ORDER U/S. 143(3) R.W.S. 147 WAS PASS ED ON 28.03.2013 AT RS. 1,89,40, 900 / - AFTER ADDING AN AMOUNT OF RS. 1,13,00,730/ - UN DER THE HEAD ' LONG TERM CAPITAL GAIN' AND RS. 75,45,421 / - UNDER THE HEAD INCOME FROM OTHER SOURCE'. IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER HAS COMPUTED THE CAPITAL GAIN IN RESPECT OF THE COMPENSATION R ECEIVED FROM AM RI TSAR IMPROVEMENT BOARD OF RS. 1 , 42 , 74,606 / - . AFTER GIVING THE INDEXATION BENEFITS TH E TOTAL CAPI TAL GAIN WORKOUT TO RS.1,13,00, 730 / - AND THE SAME WAS ADDED TO THE TOTAL INCOME OF THE ASSESSEE. AFTER VERIFICATION OF THE ASSESSMENT RECORDS C IT OBSERVED THAT THE ASSESSEE HAS RECEIVED C OMPENSATIONS FROM AMRITSAR IMPROVEMENT BOARD ON TWO OCCASIONS VIZ., RS. 1,42,74,606/ - ON 28.05.2004 AND RS. 74,45,421/ - ON 24.01.2005. THE ASSESSING OFFICER HAS CALCULATED THE CAPITA L GAIN ON 1,42,74, 606/ - ONL Y AND FAILED TO TAX T HE ANOTHER A MOUNT RECEIVED OF RS. 74,45,421/ - ON 24.01.2005. THESE FACTS WERE NOT VERIFIED BY THE ASSESSING OFFICER DURING THE COURSE OF ASSESSMENT. 4. I N VIEW OF THE ABOVE FACTS, NOTICE U/S. 263 OF THE I.T. ACT 1961 WAS ISSUE D TO THE AS SESSEE ON 03.12.2014 AS THE ORDER PASSED BY AO WAS FOUND TO BE ERRONEOUS & PREJUDICIAL TO THE INTEREST OF THE REVENUE. 5. AFTER CONSIDERING ASSESSEES CONTENTION, THE CIT(A) FOUND THAT ORDER PASSED BY THE AO WAS ERRONEOUS AND PREJUDICIAL TO THE INTEREST OF THE ITA NO. 1830/MUM/2015 SMT. SIMRANPAL KAUR 3 REVENUE IN SO FAR AS AO HAS NOT CONSIDERED THE FULL AMOUNT OF COMPENSATION RECEIVED WHILE COMPUTING THE CAPITAL GAINS. WE FOUND THAT ASSESSING OFFICER HAS FAILED TO TAX THE COMPENSATION RECEIVED OF RS.75,45,412/ - ON 24/01/2015 FROM AMRITSAR IMPROVEMEN T BOARD AS LONG TERM CAPITAL GAIN. SINCE THE COMPENSATION RECEIPT IS TAXABLE UNDER THE HEAD LONG TERM CAPITAL GAIN, THE CIT(A) HAS CORRECTLY SET ASIDE THE ASSESSMENT ORDER PASSED BY AO WHICH WAS NOT ONLY ERRONEOUS BUT ALSO PREJUDICIAL TO THE INTEREST OF THE REVENUE . ACCORDINGLY, WE DO NOT FIND ANY INFIRM ITY IN THE ORDER SO PASSED BY C IT U/S.263. 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS DISMISSED. O RDER PRONOUNCED IN THE OPEN COURT ON THIS 21 / 09 /2017 S D/ - ( SANDEEP GOSAIN ) S D/ - ( R.C.SHARMA ) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; DATED 21 / 09 /201 7 KARUNA SR. PS COPY OF THE ORDER FORWARDED TO : BY ORDER, ( ASSTT. REGISTRAR) ITAT, MUMBAI 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. 4. C IT 5. DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY//