PATHARE PRABHU CO OP HSTG SOC. LTD, MUMBAI V. ITO 15(2)(2), MUMBAI

ITA 3426/MUM/2015

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 3533 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 2 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-08-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2006-2007
• Appeal Filed On: 05-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M RAJAN

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, MUMBAI BEFORE SHRI D.KARUNAKARA RAO, ACCOUNTANT MEMBER I.T.A. NO.3426/MUM/2015 (ASSESSMENT YEAR : 2006-07) PATHARE PRABHU CO - OP. HSG. SOCIETY LTD., PLOT NO. 340, PRABHU NAAR, 12 TH ROAD, KHAR (W), MUMBAI-400052 PAN: AAAAP4549G VS. ITO 15(2)(2), MUMBAI. (APPELLANT) .. ( RESPONDENT) ASSESSEE BY SHRI TANMAY PHADKE (AR) REVENUE BY SHRI M. RAJAN (DR) DATE OF HEARING : 11.08.2015 DATE OF PRONOUNCEMENT : 17.08.2016 O R D E R D.KARUNAKARA RAO, AM: 1. THIS IS THE APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER OF CIT(A)- 34, MUMBAI DATED 20.03.2015. THIS APPEAL RELATES TO PENALTY LEVIED U/S 271(1)(C) OF THE ACT. AO LEVIED THE PENALTY OF RS. 12,00,000/- VIDE HIS ORDER DATED 22.03.2015 IN CONNECTION WITH THE ADDIT ION OF RS. 2 ITA NO.3426/M/ 2015 42,51,430/- ON ACCOUNT OF RECEIPT OF SITE DEVELOPME NT FUND. CIT(A) DISMISSED THE APPEAL OF THE ASSESSEE AND CONFIRMED THE PENALTY. THEREFORE, ASSESSEE IS IN APPEAL BEFORE US. 2. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE INFORME D THAT THE SAID PENALTY WAS LEVIED IN CONNECTION WITH THE ADDITION OF RS. 42,51,430/- AND THE SAID ADDITION STANDS DELETED BY THE TRIBUNAL VI DE APPEAL ITA NO. 5524-5526 & 128/MUM/2012 DATED 09.10.2015. IN SUPPO RT OF THE SAME, THE COUNSEL BROUGHT OUR ATTENTION TO THE CONTENTS O F PARA-14 & 15 OF THE ORDER OF THE TRIBUNAL. I FIND THAT THE APPEAL ON QU ANTUM STAND ALLOWED IN FAVOUR OF THE ASSESSEE. 3. CONSIDERING THE ABOVE SUBSEQUENT DEVELOPMENTS, I AM OF THE VIEW THAT THE PENALTY IS NOT SUSTAINABLE IN VIEW OF THE DELETION OF THE ADDITION IN QUANTUM APPEALS. THEREFORE, THE GROUNDS RAISED B Y THE ASSESSEE STAND ALLOWED. 4. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 17 TH DAY OF AUGUST, 2016. SD/- (D.KARUNAKARA RAO) ACCOUNTANT MEMBER MUMBAI, DATED:17.08.2016 SHARWAN P.S. COPY TO: THE APPELLANT THE RESPONDENT 3 ITA NO.3426/M/ 2015 THE CIT, CONCERNED, MUMBAI THE CIT(A) CONCERNED, MUMBAI THE DR SMC BENCH BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.