The ITO,Vapi Ward-1, Vapi V. Shri Abbas Nabi Shaikh,

ITA 24/AHD/2009

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 6740 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 4 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-05-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 06-05-2011
• Assessment Year: 2004-2005
• Appeal Filed On: 02-01-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S A BOHRA
• Assessee Lawyers: M K PATEL
• Section: 80IB

Judgement Text

ITA.NO.24/AHD/2009 ASSESSMENT YEAR 2004- 05. 1 IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH,AHM EDABAD. ( BEFORE SHRI D.K. TYAGI AND SHRI A. K. GARODIA) I.T .A. NO. 24/AHD/2009 (ASSESSMENT YEAR: 2004 -2005) INCOME TAX OFFICER , WARD-1 VAPI, INCOME TAX OFFICE, 2 ND FLOOR, SHIVAM COMMERCIAL COMPLEX, N.H. NO.8, NEAR GALAXY HOTEL, VAPI. . (APPELLANT) VS. SHRI ABBAS NABI SHAIKH PROP. R.A.SHAIKH PACKAGING, PLOT NO.126/P,SURVEY NO.49, AMLI INDUSTRIAL ESTATE, SILVASSA 396 230 (RESPONDENT) PAN: AHHPS 2732 F. APPELLANT BY : SHRI S.A. BOHRA, JCIT RESPONDENT BY : SHRI M.K. PATEL. ( (( ( )/ )/)/ )/ ORDER PER: SHRI A.K. GARODIA , A.M. THIS IS A REVENUES APPEAL DIRECTED AGAINST THE ORDER OF LD. C.I.T.(A)-VALSAD DATED 14-10-2008 FOR THE ASSESSMENT YEA R 2004-05. 2. GROUNDS RAISED BY THE REVENUE ARE AS UNDER :- 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN TAKING THE DECISION THAT THE D ISALLOWANCE OWING TO A DIFFERENT VIEW REGARDING THE ELIGIBILITY FOR DEDUCTION ON THE FACTS OF THE CASE AND THERE ARE NO REPORTED PRECE DENT OR JUDICIAL DECISION, WHICH HAS BEEN RELIED UPON BY THE ASSE SSING OFFICER IN SUPPORT OF HIS VIEW AND THE DISALLOWANCE OF D EDUCTION U/S. 80IA ON TECHNICAL GROUND DOES NOT AMOUNT TO CONCEALM ENT OF INCOME OR FURNISHING OF INACCURATE PARTICULARS OF INCO ME. 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, T HE LD. CIT (A) HAS ERRED IN DIRECTING THE AO TO DELETE T HE PENALTY LEVIED U/S. 271(1)(C ) OF THE I.T. ACT, 1961 OF RS. 9,13,873/-. ITA.NO.24/AHD/2009 ASSESSMENT YEAR 2004- 05. 2 3. AT THE VERY OUTSET IT WAS SUBMITTED BY THE LD. A.R. OF THE ASSESSEE THAT PENALTY WAS IMPOSED BY THE ASSESSING OFFICER ON ACCOUNT OF DISALLOWANCE OF DEDUCTION U/S. 80IA. IT IS SUBMI TTED THAT SUCH DISALLOWANCE OF DEDUCTION U/S. 80IA HAS BEEN DELETED BY THE TRIBUNAL IN QUANTUM APPEAL IN ITA NO. 1496, 2586/AHD /2007 VIDE ORDER DATED 22-10-2010 AND HENCE NO PENALTY IS JUSTIF IED. THE LD. D.R. OF THE REVENUE HAD NOTHING TO SAY. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND PERUSED T HE MATERIAL AVAILABLE ON RECORD AND GONE THROUGH THE OR DERS OF THE AUTHORITIES BELOW AND THE TRIBUNAL ORDER IN QUANTUM PROCEEDINGS IN ASSESSEES OWN CASE FOR THIS VERY YEAR. WE FIND THAT PENAL TY HAS BEEN IMPOSED BY THE ASSESSING OFFICER ON ACCOUNT OF DISALLOWANCE O F DEDUCTION CLAIMED BY THE ASSESSEE U/S. 80 IB OF RS. 27,69,3 14/-. IN QUANTUM PROCEEDINGS IT WAS HELD BY THE TRIBUNAL THAT T HE ASSESSEE IS ELIGIBLE FOR DEDUCTION U/S. 80IB. UNDER THIS FACTUAL POSITION, THE PENALTY IMPOSED BY THE ASSESSING OFFICER ON ACCOUNT OF DISALLOWANCE O F DEDUCTION U/S. 80IB HAS NO LEG TO STAND. HENCE WE DO NO T FIND ANY REASON TO INTERFERE IN THE ORDER OF THE C.I.T.(A) AS PER WHICH THE SAID PENALTY HAS BEEN DELETED BY HIM. WE THEREFORE, DECLIN E TO INTERFERE IN THE ORDER OF THE C.I.T. (A). 5. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 6 -5 - 2011. SD/- SD/- (D.K. TYAGI) (A. K. GARODIA) JUDICIAL MEMBER. AC COUNTANT MEMBER. AHMEDABAD. DATED: 6 5-2011. ITA.NO.24/AHD/2009 ASSESSMENT YEAR 2004- 05. 3 S.A.PATKI. COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) VALSAD. 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHMEDABAD. 1.DATE OF DICTATION 6 - 5 -2011 2.DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE TH E DICTATING 6 / 5 / 2011 MEMBER.OTHER MEMBER. 3.DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. P.S./P.S - -2011. 4.DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT 6 - 5 -2011 5.DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR .P.S./P.S 6 - 5 -2011 6.DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 6 - 5 -2011. 7.DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 8.THE DATE ON WHICH THE FILE GOES TO THE ASSTT. REG ISTRAR FOR SIGNATURE ON THE ORDER 9.DATE OF DESPATCH OF THE ORDER..