Jeet Singh, Gurugram V. ITO Ward-2(2), Gurgaon

ITA 345/DEL/2021

AI Insights

The case involves Jeet Singh, the appellant, who appealed against the penalty order issued by the Income Tax Officer under Section 271(1)(c) of the Income Tax Act, 1961, concerning the assessment year 2008-09. The penalty of Rs. 1,01,56,420 was imposed following quantum additions of Rs. 3 crore. However, in a separate quantum appeal (ITA No. 3068/Del/2017), the Tribunal had set aside the CIT (A) order and quashed the proceedings initiated under Section 147 of the Act, leading to the annulment of the assessment order itself. Consequently, the penalty order was challenged as it was contingent on the now-annulled assessment.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 121590 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 5 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 11-09-2023
• Assessment Year: 2008-2009
• Appeal Filed On: 29-03-2021
• Other Referred Cases: IT A No. 3068/Del/2017
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: MAHVIR SINGH
• Section: 147

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “C” DELHI BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER & SHRI YOGESH KUMAR US, JUDICIAL MEMBER I.T.A. No.345/DEL/2021 Assessment Year 2008-09 Jeet Singh, Village-Kadarpur, Sub Tehsil - Badshahpur, District-Gurugram v. ITO Ward-2(1) Gurgaon. TAN/PAN: BDFPS3837Q (Appellant) (Respondent) Appellant by: Shri Mahvir Singh, Adv. Respondent by: Shri D.K. Srivastava, Sr. DR Date of hearing: 12 09 2023 Date of pronouncement: 12 09 2023 O R D E R PER PRADIP KUMAR KEDIA, A.M.: T he capti oned app eal has b ee n f il ed b y the A sse ssee a gainst the or de r of t he Commi ssioner o f Income T ax ( A ppeals )-II, G urgaon [ ‘C IT (A) ’ in s hort ] dat ed 05. 03. 202 0 a ri sing from the penal t y order da ted 15. 03. 2018 pass ed b y t he Assessing O f fi ce r (A O ) under Secti on 271 (1) (c) of t he Inc ome Tax A ct, 1961 ( the A ct) c onc er ning A Y 2008- 09. 2. A s per g rounds of appea l, th e assessee has challeng ed the imposi t io n of penalt y of R s.1, 01, 56, 42 0/ - a rising out of quantu m addi ti ons of Rs. 3 crore. 2. A t the outs et, ld. counsel for the as sessee s ubmit ted t hat i n the quantum proce edings, t he Co- ordina te Be nc h of the Tribu nal vi de o rde r da ted 24. 06. 202 1 in IT A N o. 3068/Del /2 017 has set I.T.A. No.345/Del/2021 2 asi de the order of the l d. CIT (A ) and quashed t he procee di ngs init iate d u/ s. 147 of the Act and as a conse quence, the assess ment order i tsel f stood annu lle d. A s a cor ol la ry to such annul me nt of assess me nt order, the cons equential penalt y or de r has no legs t o sta nd i n the eyes of law. 3. L earne d D epa rt me nt R ep resenta ti ve has not exp ressed an y obj ecti on and he too admit ted t hat i n the quant um proceedings are re ndered non est. 4. O n app ra isa l of suc h factual mat rix, w e f in d that in the qua ntum p roceedings, the T r ib unal h as set as i de the or de r of the Ld. CIT (A ) an d al lowe d t he q uan tu m a ppea l. Hence, th e impug ned penal t y fl ow ing fro m asses s me nt order is de le ted. 5. In the res ul t, the appeal o f the asses s ee is al low ed. Order was pronounced in the open Court on 12/09/2023. Sd/- Sd/- [YOGESH KUMAR US] [PRADIP KUMAR KEDIA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: /09/2023 Prabhat