DCIT CENT. CIR. 4(2), CENT. RANGE - 4, MUMBAI V. RED CHILLIES ENTERTAINMENT PVT. LTD., MUMBAI

ITA 2744/MUM/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 5491 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 3 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2009-2010
• Appeal Filed On: 13-04-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAM TIWARI LD DR
• Assessee Lawyers: HIRO RAI LD

Judgement Text

ITA NO.2744/MUM/2016 RED CHILLIES ENTERTAINMENT PRIVATE LIMITED ASSESSMENT YEAR-2009-10 IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, MUMBAI , BEFORE SHRI SAKTIJIT DEY, JM AND SHRI MANOJ KUMAR AGGARWAL, AM I.T.A. NO.2744/MUM/2016 ( ASSESSMENT YEAR: 2009-10) DEPUTY COMMISSIONER OF INCOME TAX CENTRAL CIRCLE -4(2) ROOM NO.1918, 19 TH FLOOR AIR INDIA BUILDING, NARIMAN POINT MUMBAI-400 021 VS. RED CHILLIES ENTERTAINMENT PRIVATE LIMITED DEEPVAN BUILDING ANAND VIHAR SOCIETY 20 TH ROAD, KHAR(W) MUMBAI-400 052 ! ' PAN/GIR NO. AACCR-2518-P ( !# APPELLANT ) : ( $%!# RESPONDENT ) A SSESSEE BY : HIRO RAI, LD. AR RE VENUE BY : RAM TIWARI, LD. DR & DATE OF HEARING : 18/07/2018 '() / DATE OF PRONOUNCEMENT : 20/07/2018 O R D E R PER MANOJ KUMAR AGGARWAL (ACCOUNTANT MEMBER) 1. AFORESAID APPEAL BY REVENUE FOR ASSESSMENT YEAR [AY] 2009-10 CONTEST THE ORDER OF THE LD. COMMISSIONER OF INCOME -TAX (APPEALS)-52 [CIT(A)], MUMBAI, APPEAL NO.CIT(A)-52/IT/DC-CC-4(2)/158/2013-14 DATED 28/01/2016 QUA DELETION OF PENALTY U/S 271(1)(C) FOR RS.87.89 LACS. THE ASSESSMENT FOR IMPUGNED AY WAS FRAMED BY LD. ASSISTANT ITA NO.2744/MUM/2016 RED CHILLIES ENTERTAINMENT PRIVATE LIMITED ASSESSMENT YEAR-2009-10 2 COMMISSIONER OF INCOME TAX-29, MUMBAI [AO] U/S 143( 3) WHEREIN THE ASSESSEE WAS SADDLED WITH CERTAIN DISALLOWANCES. CO NSEQUENTLY, PENALTY PROCEEDINGS U/S 271(1)(C) WERE INITIATED IN THE QUANTUM ASSESSMENT ORDER AND THE ASSESSEE HAS BEEN SADDLED WITH IMPUGNED PENALTY OF RS.87.89 LACS VIDE ORDER DATED 27/08/201 3. THE SAME HAS BEEN LEVIED ON ACCOUNT OF ADDITIONS OF RS.239.39 LA CS UNDER RULE 9A AND ANOTHER ADDITION OF RS.19.19 LACS, BEING LOSS F ROM ABANDONED PROJECTS AS CLAIMED BY THE ASSESSEE DURING IMPUGNED AY. 2. THE LD. CIT(A), VIDE IMPUGNED ORDER DATED 28/01/ 2016, AFTER CONSIDERING THE FACTUAL MATRIX HAS DELETED THE IMPU GNED PENALTY ON MERITS, AGAINST WHICH THE REVENUE IS IN FURTHER APP EAL BEFORE US. 3. THE LD. AUHTORIZED REPRESENTATIVE FOR ASSESSEE [ AR], SHRI HIRO RAI, AT THE OUTSET, DREW OUR ATTENTION TO THE FACT THAT THE ASSESSEE HAS SUCCESSFULLY CONTESTED BOTH THE ADDITIONS BEFORE TH IS TRIBUNAL VIDE ITA NO. 1577/MUM/2013 ORDER DATED 31/05/2016 AND THEREF ORE THE PENALTY UNDER QUESTION DO NOT SURVIVE. A COPY OF THE CITED ORDER HAS BEEN PLACED ON RECORD. THE SAME WAS CONTROVERTED BY LD. DEPARTM ENTAL REPRESENTATIVE [DR], SHRI RAM TIWARI BY SUBMITTING THAT THE REVENUE HAS NOT ACCEPTED THE ABOVE DECISION AND THEREFORE, THE QUANTUM ADDITIONS HAVE NOT FINALITY. 4. WE HAVE CAREFULLY HEARD THE RIVAL CONTENTIONS AN D PERUSED RELEVANT MATERIAL ON RECORD. IT IS UNDISPUTED FACT THAT BOTH THE ADDITIONS AGAINST WHICH THE PENALTY HAS BEEN LEVIED HAS BEEN DELETED BY THE TRIBUNAL AND THERE IS NOTHING ON RECORD TO SUGGEST THAT THE AFOR ESAID DECISION HAS BEEN STAYED / REVERSED, IN ANY MANNER, BY ANY HIGHE R JUDICIAL AUTHORITIES. THEREFORE, AS OF NOW, THE IMPUGNED PENALTY COULD NO T BE SUSTAINED AND ITA NO.2744/MUM/2016 RED CHILLIES ENTERTAINMENT PRIVATE LIMITED ASSESSMENT YEAR-2009-10 3 WE SEE NO REASON TO INTERFERE WITH THE ORDER OF LD. FIRST APPELLATE AUTHORITY, IN THIS REGARD. 5. RESULTANTLY, THE REVENUES APPEAL STAND DISMISSE D. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH JULY, 2018 SD /- SD/- (SAKTIJIT DEY) (MANOJ KUMAR AGGARWAL) / JUDICIAL MEMBER / ACCOUNTANT MEMBER *& MUMBAI; DATED : 20.07.2018 SR.PS:-THIRUMALESH ! COPY OF THE ORDER FORWARDED TO : 1. !# / THE APPELLANT 2. $%!# / THE RESPONDENT 3. / THE CIT(A) 4. / CIT CONCERNED 5. + ,$ - -) *& / DR, ITAT, MUMBAI 6. , ./0 & GUARD FILE ' / BY ORDER, # '$% (DY./ASSTT.REGISTRAR) *& / ITAT, MUMBAI