Shipra Estate Ltd and Jai Krishan Estate Developers Pvt. Ltd., Delhi V. ACIT, Circle- 58(1), New Delhi

ITA 2233/DEL/2019

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 2693 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 1 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-05-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2011-2012
• Appeal Filed On: 12-03-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SANJAY TRIPATHI
• Section: 271(1)(c); 143(3)

Judgement Text

1 ITA no. 2263/Del/2019 Shipra Estate Ltd. & Jai Krishan Estate Developers Pvt. Ltd. IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI BENCH: ‘G’ NEW DELHI BEFORE SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER AND SHRI YOGESH KUMAR U.S., JUDICIAL MEMBER ITA No. 2233/Del/2019 Assessment Year: 2011-12 Shipra Estate Ltd. and Jai Krishan Estate Developers Pvt. Ltd. D-32, Main Vikas Marg, Lakshmi Nagar, Delhi-110092 Vs. ACIT, Circle-58(1), New Delhi. PAN :ABGFS9748C (Appellant) (Respondent) ORDER PER YOGESH KUMAR U.S., JUDICIAL MEMBER: The present appeal is preferred by the assessee for the assessment year 2011-12 against order dated 10.01.2019, passed under Section 271(1)(c) of the Income-Tax Act, 1961 (“the Act”) by the Commissioner of Income-Tax(Appeals)- 19, New Delhi. Appellant by Shri Prateek Gupta, CA Respondent by Shri Sanjay Tripathi, Sr. DR Date of hearing 05.05.2022 Date of pronouncement 10.05.2022 2 ITA no. 2263/Del/2019 Shipra Estate Ltd. & Jai Krishan Estate Developers Pvt. Ltd. 2. The assessee’s case was selected for scrutiny and order u/s 143(3) of the Act was passed on 12/03/2013, wherein deduction claimed u/s 80-IB(10) of the Act amounting to Rs. 90,68,369/- was disallowed. Further, the assessee’s method of recognizing revenue was changed from ‘Project Completion Method’ to ‘Percentage Completion Method’. Aggrieved by the same an appeal had been preferred before the CIT(Appeals). Vide order dated 04/02/2016, the CIT(Appeals) has accepted the method of accounting followed by the Assessee and further reduced the disallowance claimed u/s 80-IB(10) of the Act to Rs. 17,34,938/-. 3. The Assessee aggrieved by the order of the CIT(Appeals) dated 04/02/2016 preferred an appeal before the Tribunal. Vide order dated 26/04/2018, coordinate Bench of this Tribunal has allowed the appeal of the assessee and remanded the matter to the file of the Assessing Officer for fresh consideration. 4. The penalty proceedings has also been initiated by the AO and passed an order dated 29-03-2017 under Section 271(1)(c) of the Act by levying 200% of the tax sought to be evaded. The assessee has challenged the penalty order dated 29.3.2017 before CIT(Appeals), which has been dismissed on 10/01/2019. Aggrieved by the same the assessee has preferred the present appeal. 3 ITA no. 2263/Del/2019 Shipra Estate Ltd. & Jai Krishan Estate Developers Pvt. Ltd. 5. During the pendency of the present appeal, the assessee has opted for Vivad Se Viswas Scheme, which has been accorded with approval in Form VSVS/V, wherein settled all the disputes with the Revenue for the year under consideration. The copy of Form No. 1 to 5 is placed at page No. 109 to 123 of the paper book. As per Section 4(3) of the Direct Tax Vivad se Vishwas Act, 2020 Scheme, ‘Upon the filing the declaration, any appeal pending before the Income Tax Appellate Tribunal or Commissioner (Appeals), in respect of the disputed income or disputed interest or disputed penalty or disputed fee and tax arrears shall be deemed to have been withdrawn from the date on which certificate under sub-section (1) of section 5 is issued by the designated authority’. Therefore the present appeal challenging the Penalty Order and the confirmation of the penalty order by the CIT (A) has become infructuous. 6. Accordingly, the appeal of the assessee is dismissed for having become infructuous. Order pronounced in the open court on 10 th May, 2022. Sd/- Sd/- ( ANIL CHATURVEDI ) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 10 th May, 2022. *MP/R.N* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi 4 ITA no. 2263/Del/2019 Shipra Estate Ltd. & Jai Krishan Estate Developers Pvt. Ltd.