GAG Construction Pvt. Ltd., New Delhi V. ACIT, Central Circle- 32, New Delhi

ITA 289/DEL/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6796 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-07-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2006-2007
• Appeal Filed On: 10-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S L ANURAGI
• Assessee Lawyers: AJAY BHAGWANI

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES SMC : DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER ITA.NO.289/DEL./2018 ASSESSMENT YEAR 2006-2007 GAG CONSTRUCTION PVT. LTD., M-11, MIDDLE CIRCLE, CONNAUGHT CIRCUS, NEW DELHI 110 001. PAN AABCG3001H VS. THE ACIT, CENTRAL CIRCLE- 32, E-2, ARA CENTRE, JHANDEWALAN EXTENSION, NEW DELHI 110 055. (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI AJAY BHAGWANI, C.A. FOR REVENUE : SHRI S.L. ANURAGI, SR. D.R. DATE OF HEARING : 12 .0 7 .2018 DATE OF PRONOUNCEMENT : 12 .0 7 .2018 ORDER THIS APPEAL BY ASSESSEE HAS BEEN DIRECTED AGAINST THE ORDER OF THE LD. CIT(A)-30, NEW DELHI, DATED 21 .11.2017, FOR THE A.Y. 2006-2007, CHALLENGING THE LEVY OF PENALTY UNDER SECTION 271(1)(C) OF THE I.T. ACT, 1961, IN A SUM O F RS.3,619/-. 2. I HAVE HEARD THE LEARNED REPRESENTATIVES OF BOT H THE PARTIES AND PERUSED THE MATERIAL ON RECORD. 2 ITA.NO.289/DEL./2018 GAG CONSTRUCTION PVT. LTD., NEW DELHI. 3. LEARNED COUNSEL FOR THE ASSESSEE FILED COPY OF THE SHOW CAUSE NOTICE ISSUED BY A.O. BEFORE LEVY OF THE PENALTY UNDER SECTION 274 R.W.S. 271 OF THE I.T. ACT, DATED 24.12.2010 IN WHICH THE A.O. HAS MENTIONED AS UNDER : HAVE CONCEALED THE PARTICULARS OF YOUR INCOME OR F URNISHED INACCURATE PARTICULARS OF SUCH INCOME OR HAVE CONCE ALED THE PARTICULARS OF THE FRINGE BENEFITS OR FURNISHED INA CCURATE PARTICULARS OF SUCH FRINGE BENEFITS. 3.1. THE AFORESAID SHOW CAUSE NOTICE IS INVALID AN D BAD IN LAW BECAUSE THE SAME DID NOT SPECIFY FOR WHICH LIMB OF SECTION 271(1)(C) OF THE ACT, THE PENALTY PROCEEDINGS HAD B EEN INITIATED I.E., WHETHER FOR CONCEALMENT OF PARTICULARS OF INC OME OR FURNISHING INACCURATE PARTICULARS OF INCOME. IT WOU LD, THEREFORE, VITIATE THE ENTIRE PENALTY PROCEEDINGS. I RELY UPON THE DECISION OF HONBLE KARNATAKA HIGH COURT IN THE CASE OF CIT VS. M/S. SSAS EMERALD MEADOWS 73 TAXMANN.COM 241, WHICH IS CONFIRMED BY THE HONBLE SUPREME COURT REPORTED IN 73 3 ITA.NO.289/DEL./2018 GAG CONSTRUCTION PVT. LTD., NEW DELHI. TAXMANN.COM 248. IN THIS VIEW OF THE MATTER, THE OR DERS OF THE AUTHORITIES BELOW ARE SET ASIDE AND PENALTY IS CANC ELLED. 4. IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- (BHAVNESH SAINI) JUDICIAL MEMBER DELHI, DATED 12 TH JULY, 2018 VBP/- COPY TO 1. THE APP ELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT SMC BENCH, DELHI 6. GUARD FILE. // BY ORDER // ASSISTANT REGISTRAR : ITAT DELHI BENCHES : DELHI.