Kalika Ravindra Mogare, Kolhapur V. Income-tax Officer,

ITA 2106/PUN/2013

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 85114 (ITAT-PUNE)
• Duration Of Justice: 11 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-10-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 29-11-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Benefit of exemption

Judgement Text

INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A, PUNE BEFORE SHRI R.S. PADVEKAR, JUDICIAL MEMBER AND SHRI R.K. PANDA, ACCOUNTANT MEMBER ITA NO. 2106/PN/2013 (ASSESSMENT YEAR : 2007-08) MRS. KALIKA RAVINDRA MOGARE, PLOT NO.83, DURGAMMA, SWATANTRA SAINIK SOCIETY, RAJENDRANAGAR, KOLHAPUR 416 003 .. APPELLANT PAN NO.AEFPM7622F VS. ITO, WARD-2(2), KOLHAPUR .. RESPONDENT ASSESSEE BY : SHRI M.K. KULKARNI DEPARTMENT BY : SHRI RAJESH DAMOR DATE OF HEARING : 28-10-2014 DATE OF PRONOUNCEMENT : 30-10-2014 ORDER PER R.S. PADVEKAR, JM : THIS APPEAL IS FILED BY THE ASSESSEE CHALLENGING THE IMPUGNED ORDER OF THE LD.CIT(A), KOLHAPUR DATED 10-09-2013 FOR THE A.Y. 2007-08. THE ASSESSEE HAS TAKEN THE FOLLOWING GROUND IN THE APPEAL : ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW THE LD.CIT(A) WAS NOT JUSTIFIED IN CONFIRMING T HE REJECTION OF CLAIM MADE BY THE ASSESSING OFFICER U/S.10(10C) OF THE ACT. THE CIT(A) ERRED IN NOT ACCEPTING THE CONTENTION OF THE ASSESSEE THAT THE VRS AMOUNT RECEIVED WAS EXEMPT U/S.10(10C) OF THE ACT. IT BE ALLOWED. 2. FACTS WHICH ARE REVEALED FROM THE RECORD AS UNDER. THE ASSESSEE WAS THE EMPLOYEE OF STATEMENT BANK OF INDIA (IN SHORT SBI) AND HAS OPTED FOR TH E VOLUNTARY RETIREMENT AS PER THE EXIT OPTION SCHEME 2 (EOS) ANNOUNCED BY THE SBI. THE ASSESSEE CLAIMED EXEMPTION U/S.10(10C) OF THE ACT R.W. RULE 2BA FOR RS.5 LAKHS. THE ASSESSEE ALSO RELIED ON THE DECISI ON OF THE HONBLE HIGH COURT OF BOMBAY IN THE CASE OF CIT VS. KOODATHIL KALLYATAN AMBUJAKSHAN 39 ITR 113 WHICH HAS BEEN APPROVED BY THE HONBLE SUPREME COURT IN THE CASE OF CHANDRA RANGANATHA VS. CIT 309 ITR 49. THE ASSESSING OFFICER DECLINED TO GIVE THE BENEFIT OF EXEMPTION TO THE ASSESSEE U/S.10(10C) OF THE ACT AS IN HIS OPINION THE CONDITIONS OF RULE 2B A ARE NOT FULFILLED. THE ASSESSING OFFICER ALSO REFERRED TO THE CIRCULAR ISSUED BY CBDT BEING F.NO.200/34/2009/ITA- 1 DATED 06-10-2009. THE LD.CIT(A) CONFIRMED THE ORDER OF THE ASSESSING OFFICER. NOW THE ASSESSEE IS IN APPEAL BEFORE US. 3. WE HAVE HEARD THE PARTIES AND PERUSED THE RECORD. THE LD. COUNSEL SUBMITS THAT ISSUE STANDS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE BY THE DECISION OF THIS TRIBUNAL IN THE CASE OF OTHER EMPLOYEES OF SBI AS WELL AS THE DECISION OF THE JURISDICTIONAL HIGH COURT IN THE CASE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA). 4. PER CONTRA THE LD. DEPARTMENTAL REPRESENTATIVE SUBMITS THAT IT IS SPECIFICALLY POINTED OUT BY THE ASSESSING OFFICER AS WELL AS THE LD.CIT(A) THAT THE CONDITIONS LAID DOWN IN RULE 2BA ARE NOT FULFILLED. HE 3 PLEADED FOR CONFIRMING THE ORDER OF THE LD. COMMISSIONER. 5. WE FIND THAT THIS ISSUE STANDS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE IN RESPECT OF THE ANOTHER EMPLOYEES OF THE STATE BANK OF INDIA WHO HAD OPTED FOR THE VOLUNTARY RETIREMENT UNDER THE EXIT OPTION SCHEME FLOATED BY THE SBI IN THE CASE OF ITO, WARD - 2(2), KOLHAPUR VS. SHRI VIJAY GANPATRAO PATIL VIDE ITA NO.1045/PN/2011 ORDER DATED 29-08-2012. IN THE CASE CITED (SUPRA), HE WAS ALSO AN EMPLOYEE OF THE SBI OPTED FOR THE VOLUNTARY RETIREMENT AS PER THE E XIT OPTION SCHEME (EOS) DECLARED BY THE BANK-EMPLOYER. IN THE SAID CASE, THE LD.CIT(A) HAS ALLOWED THE CLA IM OF THE ASSESSEE BY FOLLOWING THE DECISION IN THE CA SE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA). SO FAR AS PRESENT ASSESSEE IS CONCERNED, WE FIND THAT THE CIT (A) KOLHAPUR HAS ADOPTED DIFFERENT APPROACH EVENTHOUGH THE ASSESSEE IS THE EMPLOYEE OF THE SBI AND OPTED F OR THE VOLUNTARY RETIREMENT UNDER THE EOS. IN OUR OPINION, THE ASSESSEES CASE IS SQUARELY COVERED BY THE DECISION OF THE JURISDICTIONAL HIGH COURT IN TH E CASE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA) WHICH HAS BEEN APPROVED BY THE HONBLE SUPREME COURT IN THE CASE OF CHANDRA RANGANATHA (SUPRA). IN THE CAS E OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA), THE RESPECTIVE ASSESSEE WAS THE EMPLOYEE OF THE RBI. S O FAR AS THE SBI IS CONCERNED, TO OUR UNDERSTANDING, THE EXIT OPTION SCHEME IS ANALOGOUS TO THAT OF THE RBI. 4 MOREOVER, IN OUR OPINION, THE EXIT OPTION SCHEME OF THE SBI COMPLY WITH ALL THE CONDITIONS LAID DOWN IN RULE 2BA OF THE I.T. RULES. WE, THEREFORE ALLOW THE GROUND TAKEN BY THE ASSESSEE AND DIRECT THE ASSESSI NG OFFICER TO ALLOW THE BASIC EXEMPTION U/S.10(10C) OF THE ACT. 6. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON 30-10-2014. SD/- SD/- (R.K. PANDA) (R.S. PADVEKAR) ACCOUNTANT MEMBER JUDICIAL MEMBER PUNE DATED: 30 TH OCTOBER, 2014 SATISH COPY OF THE ORDER FORWARDED TO : 1. ASSESSEE 2. DEPARTMENT 3. CIT(A), KOLHAPUR 4. CIT, KOLHAPUR 5. THE D.R, A PUNE BENCH 6. GUARD FILE BY ORDER // TRUE COPY // ASSISTANT REGISTRAR, ITAT, PUNE BENCHES, PUNE