M/s. JNC Construction (P) Ltd., New Delhi V. ACIT, New Delhi

ITA 2380/DEL/2016

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 1735 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 7 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-12-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2010-2011
• Appeal Filed On: 29-04-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SANJOG KAPOOR
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: A NEW DELHI BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER & SHRI K.NARASIMHA CHARY, JUDICIAL MEMBER ITA NO.2380/DEL/2016 ASSESSMENT YEAR: 2010-11 JNC CONSTRUCTION (P) LTD., G-128, PREET VIHAR, NEW DELHI. PAN : AABCJ0716G VS ACIT, RANGE-4, NEW DELHI APPLICANT RESPONDENT ASSESSEE BY SH. P.C. YADAV, ADVOCATE REVENUE BY SANJOGKAPOOR, SR. DR ORDER PER K. NARASIMHA CHARY, JM AGGRIEVED BY THE ORDER DATED 29/02/2016 IN APPEAL N UMBER DEL/CIT(A)-5/0129/2013-14/543 PASSED BY THE LD. COM MISSIONER OF INCOME TAX (APPEALS)-5 DELHI, (LD. CIT(A)), M/S J NC CONSTRUCTIONS PVT. LIMITED (THE ASSESSEE) PREFERRED THIS APPEAL. 2. ASSESSEE IS A COMPANY IN WHICH PUBLIC IS NOT SUB STANTIALLY INTERESTED. THE ASSESSEE IS ENGAGED IN THE BUSINESS OF REAL ESTATE. FOR THE ASSESSMENT YEAR 2010-11, ASSESSEE FILED THE RETURN OF INCOME ON 14/10/2010 DECLARING AN INCOME OF RS. 92,39,209/-. ASSESSMENT WAS, HOWEVER, COMPLETE UNDER SECTION 143(3) OF THE INCOM E TAX ACT, 1961 (FOR SHORT THE ACT) AT RS. 4,35,13,530/-AFTER MAKING S EVERAL ADDITIONS. DATE OF HEARING 9/12/2019 DATE OF PRONOUNCEMENT 9/12/2019 2 3. AGGRIEVED BY SUCH ADDITIONS ASSESSEE PREFERRED A N APPEAL BEFORE THE LD. CIT(A) WHO BY WAY OF IMPUGNED ORDER GAVE PA RTIAL RELIEF TO THE ASSESSEE AND ALLOWED THE APPEAL IN PART. AGGRIEVED BY SUCH FINDINGS OF THE LD. CIT(A) WHERE THE ASSESSEE IS UNSUCCESSFUL, ASSESSEE PREFERRED THIS APPEAL ON SEVERAL GROUNDS. 4. AT THE OUTSET, THE LD. AR SUBMITTED THAT A PETIT ION UNDER SECTION 7 OF THE INSOLVENCY AND BANKRUPTCY CODE, 2016 WAS PRE FERRED BEFORE THE NATIONAL COMPANY LAW TRIBUNAL (NCLT), PRINCIPAL BEN CH, NEW DELHI IN CP NO IB-272 (PB)/2019 AND BY ORDER DATED 30/5/2019 TH E NCLT DECLARED MORATORIUM IN TERMS OF SECTION 14 OF THE CODE, AND ARE DIRECTED THAT INTERIOR INSOLVENCY RESOLUTION PROFESSIONAL TO MAKE PUBLIC ANNOUNCEMENT WITH REGARD TO THE ADMISSION OF THE APPLICATION UND ER SECTION 7 OF THE CODE. HE PRODUCED THE COPY OF THE ABOVE ORDER. 5. WE HAVE PERUSED THE RECORD IN THE LIGHT OF THE S UBMISSIONS MADE BY THE LD. AR. IT COULD BE SEEN FROM THE RECORD, TH AT THE ASSESSEE COMPANY HAS BEEN REFERRED TO THE NATIONAL COMPANY L AW TRIBUNAL (NCLT) UNDER THE INSOLVENCY AND A BANKRUPTCY CODE, 2016 ( THE CODE) AND MORATORIUM IN TERMS OF SECTION 14 OF THE CODE, WAS GRANTED BY THE NCLT. IN THE CIRCUMSTANCES, TILL THE MORATORIUM PERIOD IS OVER, NO PROCEEDINGS AGAINST THIS COMPANY COULD BE CARRIED FORWARD AND E VEN THEREAFTER ALSO THE PROCEEDINGS SHOULD BE CARRIED FORWARD ONLY BY T HE INSOLVENCY RESOLUTION PROFESSIONAL (IRP) ON THE APPROVAL OF TH E COMMITTEE OF CREDITORS. THE PRESENT APPEAL FILED BY THE ASSESSEE IS, THEREFORE, NOT IN ACCORDANCE WITH THE CODE, SINCE IT IS NOT FILED BY THE IRP, BUT FILED BY THE COMPANY WHICH DOES NOT HAVE ANY LOCUS STANDI IN THE PRESENT SITUATION. IF 3 THE COMMITTEE OF CREDITORS APPROVES, THEN A SEPARAT E APPEAL MAY BE FILED BY THE IRP. 6. THUS, WHILE GRANTING LIBERTY TO THE IRP TO FILE A PROPERLY CONSTITUTED APPEAL WITH THE APPROVAL OF THE COMMITTEE OF CREDIT ORS, WE ARE OF THE CONSIDERED OPINION THAT THIS APPEAL CANNOT BE ALLOW ED TO BE PROSECUTED ANY FURTHER. 7. THE APPEAL OF THE ASSESSEE IS ACCORDINGLY DISMIS SED. ORDER PRONOUNCED IN THE OPEN COURT ON 9 TH DECEMBER 2019. SD/- SD/- (R.K. PANDA) (K. NARASIMHA CHAR Y) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 9 TH DECEMBER, 2019 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI