Ritu Subash Cipy, Pune V. Assistant Commissioner of Income-tax,

ITA 2180/PUN/2016

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 3987 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 1 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 20-09-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANJEEV GHEI
• Assessee Lawyers: D R BARVE

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A , PUNE , , . , BEFORE MS. SUSHMA CHOWLA, JM AND SHRI D. KARUNAKARA RAO , AM . / IT A NO. 21 80 /P U N/201 6 / ASSESSMENT YEAR : 20 0 9 - 1 0 RITU SUBASH CIPY (PROP. SPECIALITY COATINGS) C/O CIPY POLYURETHANES PVT. LTD., T - 127, MIDC - BHOSARI, BANER, PUNE - 411026 . / APPELLANT PAN: A EHPC9667A VS. THE ASST. COMMISSIONER OF INCOME TAX, CIRCLE - 8, PUNE . / RESPONDENT / APPELLANT BY : SHRI D.R. BARVE / RESPONDENT BY : SHRI SANJEEV GHEI / DATE OF HEARING : 2 5 . 1 0 .201 8 / DATE OF PRONOUNCEMENT: 31 . 1 0 .201 8 / ORDER PER SUSHMA CHOWLA, J M : TH E APPEAL FILED BY ASSESSEE IS AGAINST ORDER OF CIT (A) - 9, PUNE , DATED 2 8 . 06 .201 6 RELATING TO ASSESSMENT YEAR 20 0 9 - 1 0 AGAINST LEVY OF PENALTY UNDER SECTION 271(1)(C ) OF THE INCOME - TAX ACT , 1961 (IN SHORT THE ACT) . IT A NO. 21 80 /P U N/20 1 6 RITU SUBASH CIPY 2 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUND OF APPEAL: - 1) THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS) - 9, PUNE, HAS ERRED IN UPHOLDING THE DECISION OF AO AND CONFIRMING THE PENALTY U/S 271(1)( C) OF THE INCOME - TAX ACT, 1961 AMOUNTING TO RS.77,420/ - , EVEN THOUGH FACTUALLY ALL THE RELEVANT DETAILS WERE MADE AVAILABLE DURING THE COURSE OF ASSESSMENT PROCEEDINGS AND THERE WAS NO CONCEALMENT OF INCOME AS WELL AS SUBMISSION OF WRONG PARTICULARS. THEREFORE, THE UNWARRANTED PENALTY OF RS.77,420/ - NEEDS CANCELLATION. 3. THE ISSUE RAISED IN THE PRESENT APPEAL IS AGAINST PENALTY LEVIED UNDER SECTION 271(1)(C) OF THE ACT. 4. THE LEARNED AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE POINTED OUT THAT THE Q UANTUM ADDITION HAS BEEN DELETED BY TRIBUNAL AND CONSEQUENT THERETO, THERE IS NO MERIT IN LEVY OF PENALTY UNDER SECTION 271(1)(C) OF THE ACT. 5. THE LEARNED DEPARTMENTAL REPRESENTATIVE FOR THE REVENUE FAIRLY ADMITTED THAT QUANTUM ADDITION HAS BEEN DELETED BY TRIBUNAL. 6. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORD. THE SOLE ADDITION MADE IN THE HANDS OF ASSESSEE WAS ON ACCOUNT OF DIFFEREN CE IN ITS DATA OF 2,27, 773/ - . THE ASSESSING OFFICER HAD INITIATED PENALTY PROCEEDINGS AGAINST THE SA ID ADDITION. HOWEVER, THE TRIBUNAL IN ITA NO.1816/PUN/2014, RELATING TO ASSESSMENT YEAR 2009 - 10, VIDE ORDER DATED 05.05.2017 HAS DELETED THE ADDITION MADE IN THE HANDS OF ASSESSEE. MEANWHILE, THE ASSESSING OFFICER HAD LEVIED PENALTY UNDER SECTION 271(1)( C) OF THE ACT WHICH HAS BEEN CONFIRMED BY CIT(A). SINCE THE BASIS FOR LEVY OF PENALTY DO NOT STAND, THERE IS NO MERIT IN IT A NO. 21 80 /P U N/20 1 6 RITU SUBASH CIPY 3 THE AFORESAID LEVY OF PENALTY UNDER SECTION 271(1)(C) OF THE ACT. ACCORDINGLY, THE SAME IS DELETED . THE GROUND OF APPEAL RAISED BY ASSESSEE IS THUS, ALLOWED. 7 . IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED. ORDER PRONOUNCED ON THIS 31 ST DAY OF OCTO BER , 201 8 . SD/ - SD/ - ( D.KARUNAKARA RAO ) (SUSHMA CHOWLA ) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE ; DATED : 31 ST OCTO BER , 201 8 . GCVSR / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT ; 2. / THE RESPONDENT; 3. ( ) / THE CIT(A) - 9 , PUNE ; 4. THE PR. CIT - 5 , PUNE ; 5. 6. , , / DR A , ITAT, PUNE ; / GUARD FILE . / BY ORDER , // TRUE COPY // / SR. PRIVATE SECRETARY , / ITAT, PUNE