Smt. Manjari Choudhary, Indore V. Assistant Commissioner of Income Tax 1 (2), Indore

ITA 214/Ind/2018

AI Insights

The case involves Smt. Manjari Choudhary, who appealed against the penalty order dated 26.03.2013 imposed by the Assistant Commissioner of Income Tax (ACIT-1(2), Indore) under section 271(1)(c) of the Income-tax Act, 1961, for the assessment year 2009-10. The penalty was related to disallowances/additions made in the assessment order dated 30.12.2010. The assessee's initial appeal against the assessment was dismissed, and subsequent appeals to the ITAT and CIT(A) led to the current situation where the quantum-appeal is still pending. The tribunal noted the procedural oversight where the CIT(A) dismissed the penalty appeal assuming the dismissal of the quantum-appeal, which was not the case as the ITAT had remanded it back for fresh adjudication. Consequently, the ITAT decided to remand the penalty matter back to the CIT(A) to be decided afresh in conjunction with the outcome of the quantum-appeal.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 132684 (ITAT-INDORE)
• Duration Of Justice: 5 year(s) 1 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-04-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 17-04-2023
• Assessment Year: 2009-2010
• Appeal Filed On: 12-03-2018
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 271(1)(c); 143(3)

Judgement Text

अपीलीय अिधकरण, इ ौर ायपीठ, इ ौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI VIJAY PAL RAO, JUDICIAL MEMBER AND SHRI B.M. BIYANI, ACCOUNTANT MEMBER ITA No. 214/Ind/2018 Assessment Year: 2009-10 Smt. Manjari Choudhary 11/2 Malharganj, Indore बनाम/ Vs. ACIT-1(2) Indore (Appellant / Assessee) (Revenue / Respondent) P.A. No. ABNPC 7873 M Assessee by Shri S.S. Deshpande, AR Revenue by Shri P.K. Mishra, CIT-DR Date of Hearing: 10.04.2023 / 18.04.2023 Date of Pronouncement: 19.04.2023 आदेश / O R D E R Per B.M. Biyani, AM: Feeling aggrieved by appeal-order dated 26.12.2017 passed by learned CIT(A)- II, Indore [“Ld. CIT(A)”], which in turn arises out of penalty-order dated 26.03.2013 passed by the learned ACIT-1(2), Indore [“Ld. AO”] u/s 271(1)(c) of the Income-tax Act, 1961 [“the Act”] for assessment-year [“AY”] 2009-10, the assessee has filed this appeal on the grounds as mentioned in Appeal-Memo placed on record. Smt. Manjari Choudhary ITA No.214/Ind/2018 Assessment Year 2009-10 2 2. Heard the learned Representatives of both sides and case-record perused. 3. Ld. AR initially briefed us about the status of quantum-proceeding in assessee’s case. He submitted that originally the assessment of relevant AY 2009-10 under consideration was completed by AO u/s 143(3) vide order dated 30.12.2010 after making certain disallowances/additions. Against this assessment-order, the assessee went in first-appeal to CIT(A) in Appeal No. IT- 438/10-11/219; which was dismissed by CIT(A) vide order dated 19.12.2011. The assessee then carried matter to ITAT, Indore Bench in ITA No. 126/Ind/2012 and the ITAT has already decided appeal on 03.09.2012, a copy of the order is placed on record. Drawing our attention to Page No. 3 of the order of ITAT, Ld. AR demonstrated that the ITAT has set aside the aforesaid order of first-appeal dated 19.12.2011 passed by CIT(A) and remanded the matter back to CIT(A) for a fresh adjudication of assessee’s first-appeal. Thus, the quantum-appeal of assessee is pending, as of now, before Ld. CIT(A). 4. Then, Ld. AR carried us to the subject-matter of present-appeal before us. He submitted that vide penalty-order dated 26.03.2013, the AO imposed penalty of Rs. 1,20,00,000/- u/s 271(1)(c) qua the disallowances/additions made in aforesaid assessment-order dated 30.12.2010. The assessee filed first- appeal against such penalty-order to Ld. CIT(A). The Ld. CIT(A) has dismissed assessee’s appeal vide order dated 26.12.2017 on the premise that the assessee’s first-appeal in quantum-proceeding stands dismissed. But, the fact Smt. Manjari Choudhary ITA No.214/Ind/2018 Assessment Year 2009-10 3 is that first-appeal is pending before CIT(A), pursuant to ITAT order, as narrated in preceding paragraph. Therefore, Ld. AR prays, the present-appeal which involves the issue of penalty u/s 271(1)(c) inextricably linked with the additions/ disallowances made in quantum-proceeding, should also be remanded back to the file of Ld. CIT(A) for a fresh adjudication based on outcome of quantum-proceeding. 5. Ld. DR could not show any objection to the facts submitted by AR. Further, he fairly agreed to the prayer made by Ld. AR. 6. In view of the congruence of parties as discussed above, we are inclined to accept the prayer of Ld. AR. Therefore, this matter is remanded back to Ld. CIT(A) who shall decide it afresh after taking into account the outcome of quantum-appeal pending before him. 7. Resultantly, this appeal of assessee is allowed for statistical purpose. Order pronounced in open court on 19/04/2023. Sd/- (VIJAY PAL RAO) Sd/- (B.M. BIYANI) JUDICIAL MEMBER ACCOUNTANT MEMBER Smt. Manjari Choudhary ITA No.214/Ind/2018 Assessment Year 2009-10 4 Indore; िदनांक Dated : 19/04/2023 Patel/Sr. PS Copy to: Assessee/AO/Pr. CIT/ CIT (A)/ITAT (DR)/Guard file. By order Sr. Private Secretary, Indore 1. Date of taking dictation 2. Date of typing & draft order placed before the Dictating Member 3. Date on which the approved draft comes to the Sr. P.S./P.S. 4. Date on which the fair order is placed before the Dictating Member for pronouncement 5. Date on which the file goes to the Bench Clerk 6. Date on which the file goes to the Head Clerk 7. Date on which the file goes to the Assistant Registrar for signature on the order 8. Date of despatch of the Order