Rajesh Kumar Bantia (HUF), Chennai V. ITO NCW 6(1), CHENNAI

ITA 2964/CHNY/2019

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 5450 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 2 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-01-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 05-01-2021
• Assessment Year: 2011-2012
• Appeal Filed On: 21-10-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Condonation of delay

Judgement Text

, , IN THE INCOME-TAX APPELLATE TRIBUNAL D BENCH, CHE NNAI . , , # BEFORE SHRI DUVVURU RL REDDY, JUDICIAL MEMBER & SHRI S. JAYARAMAN, ACCOUNTANT MEMBER S.NO. ITA NO. AY APPELLANT RESPONDENT 1. 2123/CHNY/18 2014-15 SHRI VINOD KUMAR, NO. 89, SANTHAPET, GUDIYATTAM, VELLORE 632 602. [PAN: AAAHV2000D] AR: SMT. K. HEMALATHA, C.A. ITO, WARD 2, VELLORE. DR: MS. R. ANITA, JCIT 2. 2252/CHNY/18 2014-15 SMT. SUSHILA SURESH MARDIA , 3/3, SYNGANA NAICKEN STREET, CHENNAI 600 001. [PAN: ALNPS9923N] AR: SHRI D. ANAND, ADVOCATE ITO, NCW 12(4), CHENNAI DR: MS. R. ANITA, JCIT 3 - 5. 1862/CHNY/19 1863/CHNY/19 1864/CHNY/19 2000-01 2001-02 2005-06 ANBUKKARASU (HUF), NO. 8, PERIABBU MUDALI STREET, GUDIYATHAM, GUDIYATHAM 632 602. [PAN: AAHHM2008K] AR: SHRI T. VASUDEVAN ACIT, CENTRAL CIRCLE 2(2), CHENNAI. DR: MS. R. ANITA, JCIT 6. 2492/CHNY/18 2015-16 SHRI PRADEEP KUMAR JAIN, NO. 56, SEMBUDOSS ST., SOWCARPET, CHENNAI 600 001. [PAN: AAFPP7893P] AR: NONE ITO, NON CORPORATE WARD 12(3), CHENNAI. DR: MS. R. ANITA, JCIT 7. 2962/CHNY/19 2013-14 SMT. SUNITA KUMARI KOTHARI , I, CHANDRAPPA MUDALI STREET, SOWCARPET, CHENNAI 600 079. [PAN: ABCPS7421G] AR: SHRI R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 6(3), CHENNAI 600 034. DR: MS. R. ANITA, JCIT 8. 2963/CHNY/19 2011-12 SHRI RAJENDRA KUMAR KOTHAR I, II, ELEPHANT GATE STREET, SOWCARPET, CHENNAI 600 079. [PAN: AAFPK9494F] AR: SHRI R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 6(1) CHENNAI 34. DR: MS. R. ANITA, JCIT ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 2 9. 2964/CHNY/19 2011-12 SHRI RAJESH KUMAR BANTIA, 13, CHANDRAPPA MUDALI STREET, SOWCARPET, CHENNAI 600 079. [PAN:AAGHR1809C] AR: SHRI. R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 6(1), CHENNAI. DR: MS. R. ANITA, JCIT 10. 2965/CHNY/19 2012-13 SMT. SANTHOSH BUMB, I, CHANDRAPPA MUDALI STREET, SOWCARPET, CHENNAI 600 079. [PAN:ADHPB2603G] AR: SHRI. R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 6(3), CHENNAI. DR: MS. R. ANITA, JCIT 11. 2966/CHNY/19 2011-12 SHRI KANHYALAL ANIL KUMAR (HUF) 39, MISHRI KRIPA, KALATHI PILLAI STREET, SOWCARPET, CHENNAI 600 079. [PAN: AADHK8094D] AR: SHRI R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 5(1), CHENNAI DR: MS. R. ANITA, JCIT 12. 2967/CHNY/19 2011-12 SHRI VINOD KUMAR BANTIA, 13, CHANDRAPPA MUDALI STREET, SOWCARPET, CHENNAI 600 079. [PAN:AACPV9935B] AR: SHRI. R. PADMANABHAN, C.A ITO, NON CORPORATE WARD 6(4), CHENNAI DR: MS. R. ANITA, JCIT 13. 2968/CHNY/19 2011-12 KANHYALAL SUNIL KUMAR (HU F) 39, KALATHI PILLAI STREET, SOWCARPET, CHENNAI 600 079. [PAN: AADHK8118G] AR: SHRI R. PADMANABHAN, C.A. ITO, NON CORPORATE WARD 5(1), CHENNAI DR: MS. R. ANITA, JCIT 14- 15. 3240/CHNY/19 3241/CHNY/19 2002-03 2003-04 SHRI T. SIVAPRAKASAM, NO. 57/27, KRISHNAN STREET, PILLAIYARPALAYAM, KANCHIPURAM 631 501. [PAN: ABEPS3117R] AR: SHRI H. YESHWANTH KUMAR, C.A. ACIT CENTRAL CIRCLE 1(3), CHENNAI 600 034 DR: MS. R. ANITA, JCIT / DATE OF HEARING : 05.01.2021 /DATE OF PRONOUNCEMENT : 05.01.2021 / O R D E R PER BENCH: THIS BUNCH OF TEN APPEALS FILED BY DIFFERENT ASSESS EES/REVENUE ARE DIRECTED AGAINST ORDERS OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS)/A.O., CHENNAI EVEN DATED 31.05.2018, 26.06.2018, 09.04.20 19, 09.04.2019, ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 3 09.04.2019, 26.06.2018, 30.07.2019, 31.07.2019, 28. 08.2019 AND 20.08.2019, 31.07.2019, 31.07.2019, 17.09.2019, 19.09.2019 & 19 .09.2019 FOR RESPECTIVE ASSESSMENT YEARS. 2. WE HAVE HEARD THE COUNSELS FOR THE ASSESSEES AN D THE LD. DR AND ALSO PERUSED THE MATERIAL AVAILABLE ON RECORD. AT THE TI ME OF HEARING, LEARNED COUNSELS FOR THE ASSESSEES HAVE MADE A STATEMENT A T BAR THAT THE ASSESSEES WANTS TO UTILIZE THE DIRECT TAXES VIVAD SE VISHWAS SCHEME, 2020 TO SETTLE PENDING DISPUTE RELATING TO DIRECT TAXES AND IN THI S REGARD SOME OF ASSESSEES HAVE FILED FORM NO 1 AND 2 AND AWAITING FORM NO. 3 FROM THE DESIGNATED AUTHORITY. IN SOME CASES, THE ASSESSEES HAVE RECEI VED FORM NO. 3 FROM THE DESIGNATED AUTHORITY AND IN SOME CASES, THE ASSESSE E HAVE FILED LETTER AND EXPRESSED THEIR WILLINGNESS TO FILE FORM NO. 1 AND 2 BEFORE THE DESIGNATED AUTHORITY. 3. THE BENCH HAS CONSIDERED RIVAL CONTENTIONS OF BO TH SIDES AND AFTER HEARING BOTH PARTIES, WE FOUND THAT THE GOVERNMEN T OF INDIA HAS ANNOUNCED IN THE BUDGET, 2020, A DIRECT TAXES VIVAD SE VISHW AS SCHEME, 2020 TO SETTLE PENDING DISPUTE RELATING TO DIRECT TAXES AT VARIOUS APPELLATE FORUMS INCLUDING THE FIRST APPELLATE AUTHORITY, TRIBUNAL , HIGH COURT AND SUPREME COURT. IN THIS REGARD, THE SCHEME HAS BEEN NOTIFIED ON 17TH MARCH, 2020 AND BECAME DIRECT TAXES VIVAD SE VISHWAS ACT, 2020. A S PER THE SAID SCHEME, ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 4 ASSESSEES ARE ALLOWED TO SETTLE DIRECT TAX DISPUTE IN A MANNER AND PROCEDURE PRESCRIBED THEREIN BY FILING NECESSARY DECLARATION AND UNDERTAKING. THE SCHEME HAS ALSO SPECIFIED THE AMOUNT OF TAXES, INTE REST, AND PENALTY, IF ANY PAYABLE UNDER THE ACT. IF AN ASSESSEE FILED A DEC LARATION AND PAY SPECIFIED TAXES AS PER THE SCHEME AND WITHDRAW THE APPEA L PENDING BEFORE THE APPELLATE AUTHORITIES, THE DESIGNATED AUTHORITY S HALL PASS AN ORDER IN FORM 5 CONFIRMING PAYMENT MADE UNDER THE SCHEME AND GRA NT IMMUNITY FROM PENALTY AND PROSECUTION. 4. IN THESE PRESENT APPEALS, SOME ASSESSEES HAVE F ILED DECLARATION IN FORM NO.1 ALONG WITH UNDERTAKING WAIVING RIGHTS FOR ANY REMEDY IN FORM NO. 2 TO THE DESIGNATED AUTHORITY AND HAS ALSO RECEIVED FORM 3. IN SOME CASES, FORM NO 1 AND 2 HAS BEEN FILED AND AWAITING FORM NO . 3 FROM THE DESIGNATED AUTHORITY AND IN SOME CASES, THE ASSESSEES HAVE EX PRESSED THEIR WILLINGNESS TO FILE FORM NO. 1 AND 2 AND SETTLE THEIR DISPUTE U NDER THE SCHEME. THEREFORE, ONCE THE ASSESSEES INTEND TO FILE A DECLARATION IN FORM NO.1 ALONG WITH UNDERTAKING AND EXPRESSED THEIR WILLINGNESS TO SETT LE PENDING DISPUTES REGARDING DIRECT TAXES, THEN THERE IS NO POINT IN K EEPING APPEAL FILED BY THE ASSESSEES. WE, FURTHER NOTED THAT RECENTLY THE H ONBLE JURISDICTIONAL HIGH COURT OF MADRAS HAS CONSIDERED AN IDENTICAL APPLIC ATION FILED BY AN ASSESSEE IN THE CASE OF M/S. NANNUSAMY MOHAN (HUF ) VS. ACIT IN T.C.A ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 5 NO.372 OF 2020 FOR AVAILING THE BENEFIT OF VIVAD SE VISHWAS SCHEME, 2020, WHERE THE HONBLE HIGH COURT HAS DISMISSED THE AP PEAL FILED BY THE PETITIONER AS WITHDRAWN, BUT ALLOWED LIBERTY TO THE ASSESSEE TO RESTORE THE APPEAL IN THE EVENT THE DESIGNATED AUTHORITY FOR ANY REASON REJE CT APPLICATION FILED BY THE ASSESSEE UNDER SECTION 4 OF THE ACT. THE RELEVANT P ORTIONS OF THE OBSERVATIONS OF THE HONBLE HIGH COURT OF MADRAS VIDE ORDER DATE D 16.10.2020 ARE EXTRACTED AS UNDER:- 2. WE HAVE HEARD MR.M.P.SENTHIL KUMAR, LEARNED C OUNSEL APPEARING FOR THE APPELLANT/ASSESSEE AND MR.T.R.SENTHIL KUMAR, LEA RNED SENIOR STANDING COUNSEL AND MS. K.G.USHA RANI, LEARNED COUNSEL FOR THE RE SPONDENT/REVENUE. 3. THE LEARNED COUNSEL FOR THE APPELLANT / ASSESSEE , ON INSTRUCTIONS, SUBMITTED THAT THE APPELLANT / ASSESSEE INTENDS TO AVAIL THE BENEF IT OF VIVAD SE VISHWAS SCHEME ( VVS SCHEME' FOR BREVITY) AND IN THIS REGARD, THE AS SESSEE IS TAKING STEPS TO FILE THE APPLICATION / DECLARATION IN FORM NO. 1. 4. IT MAY NOT BE NECESSARY FOR THIS COURT TO DECIDE THE SUBSTANTIAL QUESTIONS OF LAW FRAMED FOR CONSIDERATION ON ACCOUNT OF CERTAIN SUBS EQUENT DEVELOPMENTS. THE GOVERNMENT OF INDIA ENACTED THE DIRECT TAX VIVAD SE VISHWAS ACT, 2020 (ACT 3 OF 2020) TO PROVIDE FOR RESOLUTION OF DISPUTED TAX AND FOR MATTERS CONNECTED THEREWITH OR INCIDENTAL THERETO. THE ACT OF THE PARLIAMENT RE CEIVED THE ASSENT OF THE PRESIDENT ON 17TH MARCH 2020 AND PUBLISHED IN THE GAZETTE OF INDIA ON 17TH MARCH 2020. 5. IN TERMS OF THE SAID ACT, THE ASSESSEE HAS BEEN GIVEN AN OPTION TO PUT AN END TO THE TAX DISPUTES, WHICH MAY BE PENDING AT DIFFERENT LEVELS EITHER BEFORE THE FIRST APPELLATE AUTHORITY OR BEFORE THE TRIBUNAL OR BEFOR E THE HIGH COURT OR BEFORE THE HON'BLE SUPREME COURT OF INDIA. UNDER SECTION 2(J) 'DISPUTED TAX' HAS BEEN DEFINED. IN TERMS OF SECTION 3, WHERE A DECLARANT M EANS A PERSON, WHO FILES A DECLARATION UNDER SECTION 4 ON OR BEFORE THE LAST D ATE FILES A DECLARATION TO THE DESIGNATED AUTHORITY IN ACCORDANCE WITH THE PROVISI ONS OF SECTION 4 IN RESPECT OF TAX ARREARS, THEN, NOTWITHSTANDING ANYTHING CONTAINED I N THE INCOME TAX ACT OR ANY OTHER LAW FOR THE TIME BEING IN FORCE, THE AMOUNT P AYABLE BY THE DECLARANT SHALL BE DETERMINED IN TERMS OF SECTION 3(A-C) THEREUNDER. 6. THE FIRST PROVISO TO SECTION 3 STATES THAT IN C ASE WHERE AN APPEAL OR WRIT PETITION OR SPECIAL LEAVE PETITION IS FILED BY THE INCOME TAX AUTHORITY ON ANY ISSUE BEFORE THE APPELLATE FORUM, THE AMOUNT PAYABLE SHAL L BE ONE-HALF OF THE AMOUNT IN THE TABLE STIPULATED IN SECTION 3 CALCULATED ON SUC H ISSUE, IN SUCH A MANNER AS MAY ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 6 BE PRESCRIBED. THE SECOND PROVISO DEALS WITH THE CA SES, WHERE THE MATTER IS BEFORE THE COMMISSIONER (APPEALS) OR BEFORE THE DISPUTE RE SOLUTION PANEL. THE THIRD PROVISO DEALS WITH CASES, WHERE THE ISSUE IS PENDIN G BEFORE THE INCOME TAX APPELLATE TRIBUNAL. THE FILING OF THE DECLARATION IS AS PER SECTION 4 OF THE ACT AND THE PARTICULARS TO BE FURNISHED ARE ALSO MENTIONED IN THE SUB SECTIONS OF SECTION 4. SECTION 5 OF THE ACT DEALS WITH THE TIME AND MANNER OF THE PAYMENT AND SECTION 6 DEALS WITH IMMUNITY FROM INITIATION OF PROCEEDINGS IN RESPECT OF OFFENCE AND IMPOSITION OF PENALTY IN CERTAIN CASES. SECTION 9 O F THE ACT DEALS WITH CASES, WHERE THE ACT 3 OF 2020 WILL NOT BE APPLICABLE. 7. AS OBSERVED, THE ASSESSEE IS GIVEN LIBERTY TO RE STORE THIS APPEAL IN THE EVENT THE ULTIMATE DECISION TO BE TAKEN ON THE DECLARATION TO BE FILED BY THE ASSESSEE UNDER SECTION 4 OF THE SAID ACT IS NOT IN FAVOUR OF THE A SSESSEE. IF SUCH A PRAYER IS MADE, THE REGISTRY SHALL ENTERTAIN THE PRAYER WITHOUT INS ISTING UPON ANY APPLICATION TO BE FILED FOR CONDONATION OF DELAY IN RESTORATION OF TH E APPEAL AND ON SUCH REQUEST MADE BY THE ASSESSEE BY FILING A MISCELLANEOUS PETITION FOR RESTORATION, THE REGISTRY SHALL PLACE SUCH PETITION BEFORE THE DIVISION BENCH FOR O RDERS. 8. IN THE LIGHT OF THE ABOVE, WE DIRECT THE APPE LLANT / ASSESSEE TO FILE THE FORM NO.1 ON OR BEFORE 20.11.2020 AND THE COMPETENT AUTH ORITY SHALL PROCESS THE APPLICATION / DECLARATION IN ACCORDANCE WITH THE AC T AND PASS APPROPRIATE ORDERS AS EXPEDITIOUSLY AS POSSIBLE PREFERABLY WITHIN A PERIO D OF SIX (6) WEEKS FROM THE DATE ON WHICH THE DECLARATION IS FILED IN THE PROPER FOR M. 5. IN THE LIGHT OF THE ABOVE DECISION OF THE HONBL E HIGH COURT OF MADRAS, AND BY TAKING NOTE OF THE FACT THAT SOME ASSESSE ES HAVE ALREADY FILED DECLARATION IN FORM NO.1 ALONG WITH FORM NO.2 TO TH E DESIGNATED AUTHORITY AND RECEIVED FORM 3 AND SOME ASSESSEES HAD ALREA DY FILED FORM NO 1 & 2 AND AWAITING FORM NO. 3 FROM THE DESIGNATED AUTHORI TY AND ALSO THE FACT THAT REMAINING ASSESSEES ARE WILLING TO FILE FORM NO 1 AND 2 WITHIN THE DUE DATE PRESCRIBED FOR THIS PURPOSE, WE DISMISS THE APPEALS FILED BY THE ASSESSEES AS WITHDRAWN. HOWEVER, A LIBERTY IS GIVEN TO THE A SSESSEES TO RESTORE THE APPEALS, IN THE EVENT OF THE DESIGNATED AUTHORIT Y, FOR ANY REASON REJECT THE APPLICATION FILED BY THE ASSESSEE UNDER SECTION 4 O F THE SAID ACT. WE, FURTHER ITA NO ITA NO ITA NO ITA NOS SS S. .. .2123 21232123 2123/CHNY/1 /CHNY/1 /CHNY/1 /CHNY/18 88 8 & ORS. & ORS. & ORS. & ORS. 7 MAKE IT CLEAR THAT IN A CASES WHERE THE APPEAL IS F ILED BY THE REVENUE AND THE ASSESSEES HAVE FOR ANY REASON OPTED OUT FROM THE S CHEME OR THE APPLICANTS UNDER THE SCHEME MISREPRESENTS ANY FACTS WHICH RESU LTED IN REJECTION OF APPLICATION FILED UNDER THE SCHEME, THEN THE PROVIS IONS OF SECTION 4(6) OF THE ACT, SHALL BE APPLICABLE TO ALL APPEALS AND IN SUCH CASES, ALL THE PROCEEDINGS AND CLAIMS WHICH WERE WITHDRAWN UNDER SECTION 4 AND ALL THE CONSEQUENCES UNDER THE INCOME-TAX ACT AGAINST THE DECLARANT SHAL L BE DEEMED TO HAVE BEEN REVIVED. WE, FURTHER MAKE IT CLEAR THAT THE ASSESSE ES SHOULD PROMPTLY INFORM THE ASSESSING OFFICER ABOUT THEIR DECISION TO OPT O UT OF THE SCHEME OR REJECTION OF APPLICATION BY THE DESIGNATED AUTHORITY TO THE A SSESSING OFFICER, SO AS TO ENABLE TO FILE MISCELLANEOUS APPLICATION TO RESTORE THE APPEAL. 6. IN THE RESULT, ALL THE APPEALS FILED BY THE ASSE SSEE ARE DISMISSED AS WITHDRAWN. ORDER PRONOUNCED ON THE 05 TH JANUARY, 2021 AT CHENNAI. SD/- SD/- (S JAYARAMAN) ACCOUNTANT MEMBER (DUVVURUL RL REDDY) JUDICIAL MEMBER CHENNAI, DATED, THE 05.01.2021 VM/- ) * /COPY TO: 1. , /APPELLANT, 2. )-, / RESPONDENT, 3. . ( )/CIT(A), 4. . /CIT, 5. ) /DR & 6. 1 /GF.