Sneh Tradelink Pvt.Ltd., Ahmedabad V. The Income tax Officer., Ward-8(2), Ahmedabad

ITA 2151/AHD/2006

• Counselvise Citation: [2009] 115 COUNSELVISE.COM (IT) 0316 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-10-2009
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 15-10-2009
• Assessment Year: 2001-2002
• Appeal Filed On: 09-10-2006
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NEETA SHAH
• Section: 271(1)(c)

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL : B BENCH : AHMEDABAD (BEFORE HONBLE SHRI T.K. SHARMA, J.M. & HONBLE SH RI D.C. AGARWAL, A.M.) I.T.A. NO. 2151/AHD./2006 ASSESSMENT YEAR : 2001-2002 SNEH TRADELINKS PVT. LTD., AHMEDABAD -VS.- INCOM E TAX OFFICER, WARD-8(2), AHMEDABAD (P.A. NO. AAFCS 1407 H) (APPELLANT) (R ESPONDENT) APPELLANT BY : SHRI DHIREN SHAH RESPONDENT BY : SMT. NEETA SHAH O R D E R PER SHRI T.K. SHARMA, JUDICIAL MEMBER :- THIS APPEAL BY THE ASSESSEE IS AGAINST THE ORDER DATED 26.06.2006 OF LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-XIV, AHMEDABAD FOR THE ASSESSMENT YEAR 2001-2002 CONFIRMING THE PENALTY OF DISALLOWANCE OF RS.8,15,310/-. 2. AT THE TIME OF HEARING, BOTH THE SIDES CONCEDED THAT IN THE IMPUGNED ORDER, THE LEARNED COMMISSIONER OF INCOME TAX(APPEALS) CONFIRMED THE P ENALTY UNDER SECTION 271(1)(C) IN RESPECT OF DISALLOWANCE OF RS.8,15,310/- OUT OF INTEREST PA YMENT. ON APPEAL BY THE ASSESSEE, IN QUANTUM APPEAL ITAT, B BENCH IN I.T.A. NO. 552/AHD./2005 VIDE ORDER DATED 09.10.2009 DELETED THE DISALLOWANCE OF RS.8,15,310/-. THE RELEVANT DISCUSS ION IS CONTAINED IN PARA 9 ON PAGE 5 OF THE SAID ORDER. IN VIEW OF THIS, IT WAS ADMITTED THAT P ENALTY SHOULD BE CANCELLED. 3. WE HAVE CAREFULLY GONE THE ORDERS OF AUTHORITIES BELOW AND ALSO PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS WELL SETTLED LAW THAT WH ERE ADDITIONS MADE IN ASSESSMENT ORDER ON THE BASIS OF WHICH PENALTY FOR CONCEALMENT IS LEVIED, I S DELETED, THERE REMAINS NO BASIS AT ALL FOR LEVYING PENALTY FOR CONCEALMENT AND, THEREFORE, IN SUCH A CASE, NO PENALTY CAN SURVIVE AND PENALTY IS LIABLE TO BE CANCELLED. THE ADDITION OF RS.8,15,310/- HAS ALREADY DELETED BY THE 2 TRIBUNAL. THEREFORE, PENALTY ON CONCEALMENT OF INCO ME TO THE EXTENT OF RS.8,15,310/- CONFIRMED BY THE LEARNED COMMISSIONER OF INCOME TAX(APPEALS) IN THE IMPUGNED ORDER IS HEREBY CANCELLED. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. THE ORDER PRONOUNCED IN THE COURT ON 16.10.2009 SD/- SD/- (D.C. AGARWAL) (T.K. SHARMA ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 16 / 10 / 2009 COPY OF THE ORDER IS FORWARDED TO : 1) THE ASSESSEE (2) THE RESPONDENT 3) CIT(A) CONCERNED, (4) CIT CONCERNED,(5) D.R., ITAT, AHMEDABAD. TRUE COPY BY ORDER DEPUTY REGISTRAR, ITAT, AHMEDABAD LAHA/SR.P.S.