The ACIT,Sabarkantha Circle, Himatnagar V. Sonata Ceramics Pvt.Ltd., Himatnagar

ITA 2202/AHD/2012

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 2415 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 4 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-03-2016
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 01-03-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 04-10-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: DINESH SINGH

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD A BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI KUL BHARAT, JUDICIAL MEMBER) ITA. NOS: 2076 & 2201/AHD/2012 (ASSESSMENT YEAR: 2005-06) SONATA CERAMICS PVT. LTD. NR. SABAR DAIRY, TALOD ROAD, HIMATNAGAR, 383001 DIST. SABARKANTHA PAN NO. AAGCS4523D THE ACIT, SABARKANTHA CIRCLE, HIMATNAGAR V/S V/S THE ACIT, SABARKANTHA CIRCLE, HIMATNAGAR SONATA CERAMICS PVT. LTD. NR. SABAR DAIRY, TALOD ROAD, HIMATNAGAR, 383001 DIST. SABARKANTHA PAN NO. AAGCS4523D (APPELLANT) (RESPONDENT) ITA. NOS: 2077 & 2202/AHD/2012 (ASSESSMENT YEAR: 2006-07) SONATA CERAMICS PVT. LTD. NR. SABAR DAIRY, TALOD ROAD, HIMATNAGAR, 383001 DIST. SABARKANTHA PAN NO. AAGCS4523D THE ACIT, SABARKANTHA CIRCLE, HIMATNAGAR V/S V/S THE ACIT, SABARKANTHA CIRCLE, HIMATNAGAR SONATA CERAMICS PVT. LTD. NR. SABAR DAIRY, TALOD ROAD, HIMATNAGAR, 383001 DIST. SABARKANTHA PAN NO. AAGCS4523D (APPELLANT) (RESPONDENT) ITA NOS. 207 6 & 2201/AHD/12 ITA NOS.2077 & 2202/AHD/12 A.YS. 2005-06 & 2006 -07 2 APPELLANT BY : SHRI TUSHAR P. HEMANI, AR RESPONDENT BY : SHRI DINESH SINGH, SR. D.R. ( )/ ORDER DATE OF HEARING : 01 -03-201 6 DATE OF PRONOUNCEMENT : 01 -03-2016 PER N.K. BILLAIYA, ACCOUNTANT MEMBER: 1. ITA NOS. 2076/AHD/2012 & 2201/AHD/2012 ARE CROSS AP PEALS BY THE ASSESSEE AND THE REVENUE AGAINST THE VERY SAME ORDE R OF THE LD. CIT(A)-VIII, AHMEDABAD DATED 30.07.2012 PERTAINING TO A.Y. 2005-06 AND ITA NOS. 2077/AHD/2012 & 2202/AHD/2012 ARE CROS S APPEALS BY THE ASSESSEE AND THE REVENUE AGAINST THE ORDER OF T HE LD. CIT(A)-VIII, AHMEDABAD DATED 30.07.2012 PERTAINING TO A.Y. 2006- 07. 2. ALL THESE APPEALS AND CROSS APPEALS HAVE SIMILAR FA CTS IN ISSUES, THEREFORE, THEY WERE HEARD TOGETHER AND ARE DISPOSE D OF BY THIS COMMON ORDER FOR THE SAKE OF CONVENIENCE. 3. AT THE VERY OUTSET, THE LD. COUNSEL FOR THE ASSESSE E STATED THAT THE ISSUES INVOLVED IN THE IMPUGNED APPEALS ARE IDENTIC AL TO THE ISSUES INVOLVED IN SANTRO TILES LTD., GLADDER CERAMICS LTD . AND SANYO CERA TILES PVT. LTD. THE LD. D.R. FAIRLY CONCEDED TO THI S. 4. LD. COUNSEL FOR THE ASSESSEE DREW OUR ATTENTION TO THE DECISION OF THE TRIBUNAL IN THE CASE OF SANTRO TILES LTD. AND OTHER S AND STATED THAT THE TRIBUNAL HAS SET ASIDE THE MATTER TO THE LD. CIT(A) , THEREFORE, SAME ITA NOS. 207 6 & 2201/AHD/12 ITA NOS.2077 & 2202/AHD/12 A.YS. 2005-06 & 2006 -07 3 VIEW SHOULD BE FOLLOWED. THE LD. D.R. ACCEPTED THIS SUBMISSION OF THE LD. COUNSEL. 5. WE HAVE GIVEN A THOUGHTFUL CONSIDERATION TO THE GRO UNDS OF APPEAL INVOLVED IN THE APPEALS IN HAND BEFORE US QUA THE G ROUNDS OF APPEAL INVOLVED IN THE CASES OF SANTRO TILES LTD. AND ORS. WE FIND FORCE IN THE CONTENTION OF THE LD. COUNSEL, THE FACTS IN ISSUES BEFORE US ARE IDENTICAL TO THE FACTS IN ISSUES DECIDED BY THE TRIBUNAL IN T HE CASE OF SANTRO TILES PVT. LTD. AND ORS. IN ITA NOS. ITA NOS.1277 T O 1280/AHD/12, 1287 TO 1290/AHD/12, 2568 & 2569/AHD/12, 2611 & 261 2/AHD/12, 2805 & 2806/AHD/12 AND 130 & 131/AHD/2013. THE RELE VANT FINDINGS OF THE TRIBUNAL READ AS UNDER:- 4. THEREFORE, PROCEEDINGS WERE INITIATED U/S.148 AN D CONSEQUENTIAL ADDITIONS WERE MADE. IN SUM AND SUBSTANCE, THE STAND OF LEARNED AU THORIZED REPRESENTATIVE IS THAT PROCEEDING WHICH INITIATED AT THE STRENGTH OF INVESTIGATION CONDUCTED BY DGCEI, AHMEDABAD ARE BASIS FOR ADDITION IN INCOME T AX PROCEEDING AS WELL. IT WAS SUBMITTED THAT PROCEEDING WITH REGARDS TO EVASI ON OF EXERCISE WAS PENDING BEFORE CONCERN TRIBUNAL AND WHICH WILL HAVE BEARING ON THE ISSUE AT HAND. SO, IN THE INTEREST OF JUSTICE, MATTER SHOULD BE RESTORED TO CIT(A) WITH DIRECTION TO DECIDE THE SAME AS PER FACT AND LAW IN LIGHT OF FINAL OUTC OME IN THE EXCISE PROCEEDING AS DISCUSSED ABOVE. FINDING FORCE IN THE CONTENTION OF ASSESSEE, WE SET ASIDE THE ORDER OF CIT(A) AND RESTORE THE MATTER TO HIM WITH DIRECTION TO DECIDE THE SAME AS PER FACT AND LAW INCLUDING FINAL OUTCOME IN EXCISE CASE, WHICH WAS INITIATED AT THE STRENGTH ON INVESTIGATION BY DGCEI, AHMADABAD AND HAS BEARING ON THE ISSUE OF ADDITIONS IN INCOME TAX PROCEEDING AS DISCUSSED ABO VE. SINCE WE ARE RESTORING THE MATTER TO CIT(A) WITH PRELIMINARY ISSUE AS DISCUSSE D ABOVE, SO, WE ARE REFRAINING TO COMMENT ON MERIT OF ISSUE AT HAND. 5. AS A RESULT, APPEAL FILED BY REVENUE AS WELL AS ASSESSEE FOR ARE ALLOWED FOR STATISTICAL PURPOSE AS INDICATED ABOVE. ITA NOS. 207 6 & 2201/AHD/12 ITA NOS.2077 & 2202/AHD/12 A.YS. 2005-06 & 2006 -07 4 6. SIMILAR ISSUES AROSE IN A.YS. 06-07, 07-08 AND 0 8-09 IN CASE OF SANTRO TILES LTD. FACTS BEING SIMILAR SO FOLLOWING THE SAME REAS ONING, THE ORDER OF CIT(A) IN ALL YEARS IS SET ASIDE WITH SIMILAR DIRECTION. 7. AS A RESULT, APPEALS FILED BY REVENUE AS WELL AS ASSESSEE FOR ALL YEARS ARE ALLOWED FOR STATISTICAL PURPOSE AS INDICATED ABOVE. 6. RESPECTFULLY, FOLLOWING THE FINDINGS OF THE CO-ORDI NATE BENCH, WE RESTORE THE MATTERS TO LD. CIT(A) WITH DIRECTION TO DECIDE THE SAME AS PER FACT AND LAW IN LIGHT OF FINAL OUTCOME IN THE E XCISE PROCEEDING AS DISCUSSED BY THE TRIBUNAL IN THE CASE OF SANTRO TIL ES LTD. AND ORS. (SUPRA). AS A RESULT, APPEALS FILED BY THE REVENUE AS WELL AS THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON 01 - 03 - 20 16. SD/- SD/- (KUL BHARAT) (N. K. BILLAIYA) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD: TRUE COPY RAJESH COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHM EDABAD