Assistant Commissioner of Income tax, Pune V. Pushpak Steel Industries Pvt.Ltd, Pune

ITA 304/PUN/2017

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 8672 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 5 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-07-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 01-07-2019
• Assessment Year: 2009-2010
• Appeal Filed On: 06-02-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VISHWAS MUNDHE
• Assessee Lawyers: R G NAHAR
• Keywords: Set aside
• Section: 143(3)

Judgement Text

] IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A, PUNE BEFORE SHRI ANIL CHATURVEDI, AM AND SHRI VIKAS AWASTHY, JM . / ITA NO.304/PUN/2017 / ASSESSMENT YEAR : 2009-10 THE ASST. COMMISSIONER OF INCOME TAX, CIRCLE 10, PUNE. . / APPELLANT V/S PUSHPAK STEEL INDUSTRIES PVT. LTD., GAT NO.119, ALANDI MARKAL ROAD, VILLAGE DHANORE, TALUKA KHED, PUNE. PAN : AABCP0081C. . / RESPONDENT ASSESSEE BY : SHRI R.G. NAHAR. REVENUE BY : SHRI VISHWAS MUNDHE. / ORDER PER ANIL CHATURVEDI, AM : 1. THIS APPEAL FILED BY THE REVENUE IS EMANATING OUT OF THE ORDER OF COMMISSIONER OF INCOME TAX (APPEAL) 9, PUNE DATED 05.10. 2016 FOR A.Y. 2009-10. 2. THE SOLE GROUND RAISED BY THE REVENUE READS AS UNDER : WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE , THE CIT(A) WAS JUSTIFIED ON DELETING THE ADDITION ON THE GROUND THAT HONBLE ITAT HAS QUASHED THE ORDER OF 263 AND THEREFORE THE ORDER U/S 143(3) RWS 263 HAS BECOME VOID, WHEN THE ORDER OF THE TRIBUNAL IS NOT REACHED UPON ITS FINALITY FROM THE DEPT. AS TO WHETHER SAID DECISION SHALL BE CONTESTED OR N OT BEFORE HONBLE HIGH COURT ? 3. BEFORE US, LD. A.R. SUBMITTED THAT THE ASSESSMENT OF THE ASSESSEE COMPANY FOR A.Y. 2009-10 WAS FRAMED U/S 143(3) OF THE ACT ON 27.12.2011 / DATE OF HEARING : 01.07.2019 / DATE OF PRONOUNCEMENT: 12.07.2019 2 WHEREIN THE AO ACCEPTED THE RETURNED INCOME. SUBSEQUE NTLY, THE ASSESSMENT ORDER WAS REVIEWED BY LD. CIT U/S 263 OF TH E ACT AND VIDE ORDER DATED 26.03.2014 PASSED U/S 263 OF THE ACT, HE SE T ASIDE THE ORIGINAL ASSESSMENT ORDER PASSED BY AO U/S 143(3) OF THE ACT. A GGRIEVED BY THE ORDER OF LD.CIT PASSED U/S 263 OF THE ACT, ASSESSEE PRE FERRED APPEAL BEFORE THE TRIBUNAL. HE SUBMITTED THAT THE CO-ORDINATE BENCH O F THE TRIBUNAL VIDE ORDER DATED 16.09.2016 IN ITA NO.763/PN/2014 HAS HELD THAT REVISIONARY PROCEEDINGS EXERCISED BY LD.CIT TO BE NOT CO RRECT AND ACCORDINGLY SET ASIDE THE ORDER OF LD.CIT. HE PLACED O N RECORD THE COPY OF THE AFORESAID ORDER OF THE TRIBUNAL AND POINTED TO THE RE LEVANT FINDINGS. HE THEREFORE SUBMITTED THAT WHEN THE ORDER OF LD.CIT PASS ED U/S 263 ITSELF HAS BEEN SET ASIDE BY THE TRIBUNAL, THE CONSEQUENTIAL ORD ER PASSED U/S 143(3) R.W.S. 263 OF THE ACT DOES NOT SURVIVE AND LD.CIT(A) HAS RIGHTLY ANNULLED THE ORDER. HE THUS SUPPORTED THE ORDER OF LD.C IT(A). LD. D.R. ON THE OTHER HAND DID NOT CONTROVERT THE SUBMISSIONS MADE BY LD.A.R. BUT HOWEVER SUPPORTED THE ORDER OF AO. 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE M ATERIAL ON RECORD. IT IS AN UNDISPUTED FACT THAT ORIGINAL ASSESSMEN T ORDER U/S 143(3) OF THE ACT WAS PASSED BY AO ON 27.12.2011. THEREAFTER, LD.CIT VIDE ORDER DATED 26.03.2014 PASSED U/S 263 OF THE ACT WHEREIN HE SET ASIDE THE ASSESSMENT ORDER PASSED BY THE AO U/S 143(3) OF THE AC T AND DIRECTED THE AO TO REFRAME THE ASSESSMENT AS PER THE DIRECTIONS CO NTAINED THEREIN. CONSEQUENT TO ORDER OF LD.CIT PASSED U/S 263, AO FRAMED ASSESSMENT U/S 143(3) R.W.S. 263 VIDE ORDER DATED 30.09.2014. AGAINST THE ORDER PASSED BY LD.CIT U/S 263, ASSESSEE CARRIED THE MATTER BEFORE THE TRIBUNAL. THE CO-ORDINATE BENCH OF THE TRIBUNAL IN ITA NO.763/PUN/2014 ORDER DT.16.09.2016 HAD HELD THAT THE REVISIONARY PROCEEDINGS E XERCISED BY 3 LD.CIT TO BE NOT CORRECT AND THEREFORE HAD SET ASIDE THE ORDER PASSED BY LD.CIT U/S 263(1) OF THE ACT. IN SUCH A SITUATION, WHEN TH E ORIGINAL ORDER OF LD.CIT PASSED U/S 263 OF THE ACT HAS BEEN SET ASIDE, TH E CONSEQUENTIAL ORDER PASSED BY THE AO U/S 143(3) R.W.S. 263 OF THE ACT DOES NOT SURVIVE. THE LD.CIT(A) HAS THUS RIGHTLY HELD THE ASSESSMENT ORDER PASSED U/S 143(3) R.W.S. 263 OF THE ACT ON THE BASIS OF ORDER OF LD.CIT TO BE VOID. WE DO NOT FIND ANY FALLACY IN THE FINDINGS OF LD. CIT(A) AND THUS, THE GROUND OF THE REVENUE IS DISMISSED. 5. IN THE RESULT, THE APPEAL OF REVENUE IS DISMISSED. ORDER PRONOUNCED ON 12 TH DAY OF JULY, 2019. SD/- SD/- ( VIKAS AWASTHY ) ( ANIL CHATURVEDI ) ! / JUDICIAL MEMBER '! / ACCOUNTANT MEMBER PUNE; DATED : 12 TH JULY, 2019. YAMINI #$%&'('% / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. 4. 5 6. CIT(A)-9, PUNE. PR. CIT- 5, PUNE. '#$ %%&',) &', / DR, ITAT, A PUNE; $,-./ GUARD FILE. / BY ORDER // TRUE COPY // /01%2&3 / SR. PRIVATE SECRETARY ) &', / ITAT, PUNE.