The DIT(Exemp.), Ahmedabad V. Gujarat Industrial Security Force Society, Ahmedabad

ITA 2895/AHD/2012

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 67695 (ITAT-AHMEDABAD)
• Duration Of Justice: 9 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-09-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 12-09-2013
• Assessment Year: 2006-2007
• Appeal Filed On: 27-12-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K C MATHEWS

Judgement Text

, , , , , , , , IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH D BENCH, AHMEDABAD . , !' # $ $ $ $ % &', # BEFORE SHRI A.MOHAN ALANKAMONY,ACCOUNTANT MEMBER AND SHRI KUL BHARAT, JUDICIAL MEMBER ./ I.T.A. NO.2895/AHD/2012 ( ) $*) ) $*) ) $*) ) $*) / / / / ASSESSMENT YEAR : 2006-07) DEPUTY DIRECTOR OF INCOME-TAX(EXEMPTION) AHMEDABAD / VS. GUJARAT INDUSTRIAL SECURITY FORCE SOCIETY C/1, NEW MENTAL HOSPITAL MEGHANINAGAR AHMEDABAD-380 016 #+ !' ./,- ./ PAN/GIR NO. : AAAAG 0372 LS ( +. / // / APPELLANT ) .. ( /0+. / RESPONDENT ) +. 1 ! / APPELLANT BY : SHRI K.C. MATHEWS, SR.DR /0+. 2 1 ! / RESPONDENT BY : SHRI TUSHAR HEMANI, AR %$3 2 '' / / / / DATE OF HEARING : 12/09/2013 4* 2 '' / DATE OF PRONOUNCEMENT : 30/09/2013 !5 / O R D E R PER SHRI KUL BHARAT, JUDICIAL MEMBER : THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST TH E ORDER OF THE LD.CIT(APPEALS)-XXI AHMEDABAD (CIT(A) FOR SHORT) DATED 12/10/2012 PERTAINING TO ASSESSMENT YEAR (AY) 2006- 07. THE REVENUE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL:- I) THE LD.COMMISSIONER OF INCOME-TAX (APPEALS) HAS ERRED IN LAW AND ON FACTS IN DELETING THE PENALTY LEVIED U/S.271 (1)(C) ON THE DISALLOWANCE OF SERVICE TAX PENALTY PAID BY THE ASS ESSEE-TRUST OF RS.47,04,102/-. ITA NO.2895/AHD /2012 DY.DIT(E) VS. GUJARAT INDUSTRIAL SECURITY FORCE S OCIETY ASST.YEAR 2006-07 - 2 - II) ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. COMMISSIONER OF INCOME-TAX (APPEALS0 OUGHT TO HAVE UPHELD THE OR DER OF THE ASSESSING OFFICER. III) IT IS, THEREFORE, PRAYED THAT THE ORDER OF THE LD.C OMMISSIONER OF INCOME-TAX (APPEALS) MAY BE SET ASIDE AND THAT OF T HE ASSESSING OFFICER BE RESTORED. 2. THE ONLY ISSUE IN THIS APPEAL IS AGAINST THE DEL ETION OF PENALTY LEVIED U/S.271(1)(C) OF THE I.T.ACT, 1961 ON THE DISALLOWA NCE OF SERVICE TAX PENALTY PAID BY THE ASSESSEE-TRUST OF RS.47,04,102/-. 3. AT THE OUTSET, LD.COUNSEL FOR THE ASSESSEE POINT ED OUT THAT THE LD.CIT(A) HAS DELETED THE PENALTY ON THE GROUND THAT IN QUANT UM PROCEEDINGS, THE HONBLE ITAT HAS ALLOWED THE CLAIM OF THE ASSESSEE, THEREFO RE THE PENALTY U/S.271(1)(C) OF THE ACT ON THIS AMOUNT DOES NOT SUBSIST. HE HA S ALSO PLACED ON RECORD THE DECISION OF HONBLE CO-ORDINATE BENCH IN ASSESSEES OWN CASE BEARING ITA NO.2923/AHD/2009 FOR ASST.YEAR 2006-07, DATED 21/04 /2011. ON THE CONTRARY, LD.SR.DR RELIED THE ORDER OF THE DDIT(EXEMPTION). 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS, PERUSE D THE MATERIAL AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. WE FIND THAT THE LD.CIT(A) IN PARAGRAPH NO.4.3 OF H IS ORDER HAS OBSERVED THAT IN QUANTUM PROCEEDINGS, THE HONBLE ITAT D B ENCH AHMEDABAD VIDE ORDER DATED 21/04/2011 IN ITA NO.2923/AHD/2009 (SUPRA) ALLOWED THE CLAIM OF THE APPELLANT IN RESPECT OF SERVICE TA X PENALTY AMOUNTING TO RS.47,04,102/- AND IN RESPECT OF THE OTHER ADDITION S, THE MATTER IS RESTORED TO THE FILE OF ASSESSING OFFICER. WE FIND THAT THE HONBLE CO-ORDINATE BENCH IN ASSESSEES OWN CASE IN ITA NO.2923/AHD/20 09 FOR ASST.YEAR 2006-07(SUPRA) HAD ALLOWED THE CLAIM OF THE ASSESSE E IN RESPECT OF THE ADDITIONS MADE ON ACCOUNT OF PAYMENT OF SERVICE TAX PENALTY. THE FACT ITA NO.2895/AHD /2012 DY.DIT(E) VS. GUJARAT INDUSTRIAL SECURITY FORCE S OCIETY ASST.YEAR 2006-07 - 3 - THAT THE ADDITION ON THE BASIS OF WHICH PENALTY WAS LEVIED HAS ALREADY BEEN DELETED BY THE HONBLE CO-ORDINATE BENCH IS NO T CONTROVERTED BY THE LD.SR.DR OF THE REVENUE, THEREFORE, WE DO NOT F IND ANY INFIRMITY IN THE ORDER OF THE LD.CIT(A), THE SAME IS HEREBY UPHE LD. HENCE, THIS GROUND OF THE REVENUES APPEAL IS DEVOID OF ANY MER IT AND THE SAME IS REJECTED. 4. IN THE RESULT, REVENUES APPEAL STANDS DISMISSED . ORDER PRONOUNCED ON THE DATE MENTIONED ON CAPTION PAGE SD/- SD/- (. ) (% &') !' # # ( A. MOHAN ALANKAMONY ) ( KUL BHARAT ) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD; DATED 30/ 09 /2013 8.., $.../ T.C. NAIR, SR. PS !5 2 /'9 :!9*' !5 2 /'9 :!9*' !5 2 /'9 :!9*' !5 2 /'9 :!9*'/ COPY OF THE ORDER FORWARDED TO : 1. +. / THE APPELLANT 2. /0+. / THE RESPONDENT. 3. ' %; / CONCERNED CIT 4. %;() / THE CIT(A)-XXI AHMEDABAD 5. 9$&< /' , , / DR, ITAT, AHMEDABAD 6. <) =3 / GUARD FILE. ! ! ! !5% 5% 5% 5% / BY ORDER, 09' /' //TRUE COPY// > >> >/ // / , , , , ( DY./ASSTT.REGISTRAR) , , , , / ITAT, AHMEDABAD