ITO, New Delhi V. M/s. Sh. Mangat Raj, New Delhi

ITA 3813/DEL/2012

• Counselvise Citation: 381320114 RSA 2012
• Duration Of Justice: 2 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-09-2012
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 24-09-2012
• Assessment Year: 2008-2009
• Appeal Filed On: 23-07-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: AROOP KR SINGH
• Section: 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: E NEW DELHI BEFORE SHRI I.C.SUDHIR, JUDICIAL MEMBER AND SHRI A.N.PAHUJA, ACCOUNTANT MEMBER I.T.A .NO.-3813/DEL./2012 ASSESSMENT YEAR - 2008-09 ITO, VS SH. MANGAT RAJ, WARD-49(1), 2284, MED GANJ, NEW DELHI. MANDI RUI, NEW DELHI PAN : DELM12455C (APPELLANT) (RESPONDENT) I.T.A .NO.-3816,3817 /DEL./2012 ASSESSMENT YEAR - 2011-12 ITO, VS NDMC, WARD-49(1), ROOM NO.-6010, PALIKA KENDRA, NEW DELHI. PARLIAMENT STREET, NEW DELHI PAN-DELA24983A (APPELLANT) (RESPONDENT) APPELLANT BY: SH. AROOP KR. SINGH, SR. DR RESPONDENT BY: NONE APPEAL HEARD ON-24.09.2012 ORDER PRONOUNCED ON-28.09.2012 ORDER PER I.C.SUDHIR, JM THE REVENUE HAS IMPUGNED THE FIRST APPELLATE ORDER ON THE FOLLOWING GROUNDS :- 1. THE ORDER OF LD. CIT(A) IS PERVERSE AND ERRONE OUS ON THE FACTS AND CIRCUMSTANCES OF THE CASE. THE CIT(A ) ON THE ONE HAND HAS DISMISSED THE APPEAL OF THE DEDUCT OR ASSESSEE BY HOLDING THAT THE ORDER PASSED BY THE ASSESSING OFFICER U/S 200A OF THE INCOME TAX ACT, 1 961 IS NOT APPEALABLE U/S246A OF THE INCOME TAX ACT, 19 61 I.T.A .NO.-3813, 3816 & 3817/DEL./2012 2 AND ON THE OTHER HAND HAS GIVEN DIRECTION TO THE ASSESSING OFFICER TO TAKE CORRECTIVE ACTION TO RECT IFY THE MISTAKES IN THE ORDER WITHIN TWO MONTHS EITHER THRO UGH THE ITD SYSTEM OR MANUALLY. 2. THE LD. CIT(A) HAS OVERREACHED HIS JURISDICTION IN ISSUING DIRECTION TO THE ASSESSING OFFICER IN A NON -EST APPEAL. 3. THE LD. CIT(A) HAS ALSO ERRED IN FIXING THE TIME LI MIT OF TWO MONTHS FOR RECTIFICATION OF THE ORDER PASSED BY THE ASSESSING OFFICER U/S 200A OF THE INCOME TAX ACT, 1 961 AND DIRECTING HIM TO DO CORRECTION MANUALLY. THE PROVISIONS OF THE INCOME TAX ACT, 1961 DO NOT PERMI T THE ASSESSING OFFICER TO MAKE ANY CORRECTION IN THE E-T DS RETURNS FILED BY THE DEDUCTOR ASSESSEE AS HE HAS BE EN PROVIDED WITH VERY LIMITED POWERS TO MODIFY THE DAT A IN THE E-TDS RETURNS TO WHICH THE DEDUCTOR ASSESSEE IS NOT AUTHORIZED AND WHICH ALSO NEEDS VERIFICATION AT HIS END. 4. THE LD. CIT(A) HAS FURTHER ERRED IN ISSUING DIRECTI ON TO THE ASSESSING OFFICER FOR RECTIFICATION OF THE ORDE R WHEN ONUS TO FILE CORRECTION STATEMENT LIES ENTIRELY WIT H THE DEDUCTOR ASSESSEE AND THERE IS NO ROLE OF THE ASSES SING OFFICER IN THIS REGARD. 2. WHILE REITERATING THE CONTENTS OF GROUNDS, LD. D R CONTENDED THAT WHEN LD. CIT(A) HAS DISMISSED THE APPEAL OF THE DED UCTOR ASSESSEE BY HOLDING THAT THE ORDER PASSED BY THE ASSESSING OFFI CER U/S 200A OF THE INCOME TAX ACT, HE WAS NOT JUSTIFIED TO DIRECT THE AO(TDS) TO RECTIFY THE MISTAKES IN THE ORDER WITHIN 2 MONTHS EITHER ON COM PUTER OR MANUALLY. HE SUBMITTED THAT LD. CIT(A) HAS DISMISSED THE APPEAL ON THE BASIS OF ITS NON- MAINTAINABILITY. 3. HAVING GONE THROUGH THE ORDERS OF THE AUTHORITIE S BELOW, WE FIND THAT ADMITTEDLY THE ASSESSEES HAD PREFERRED HAD REFERRED FIRST APPEAL BEFORE THE LD. CIT(A) AGAINST COMPUTERIZED PROCESSING ORDER OF AO(TDS) WHERE TAX I.T.A .NO.-3813, 3816 & 3817/DEL./2012 3 AND INTEREST U/S 200A HAVE BEEN COMPUTED IN THE COM PUTER FOR SHORT DEDUCTION/SHORT PAYMENT/LATE PAYMENT BY THE ASSESSE ES. THE FIRST APPELLATE ORDER HAS BEEN PASSED ON 15.05.2012 WHEN ORDER PASS ED U/S 200A OF THE ACT WAS NOT BROUGHT AS APPEALABLE ORDER U/S 246A BEFORE THE FIRST APPELLATE AUTHORITY. THE ORDER PASSED U/S 200A HAS BEEN MADE APPEALABLE BEFORE THE FIRST APPELLATE AUTHORITY U/S 246A OF THE ACT W.E.F 01.07.2012 VIDE THE FINANCE ACT, 2012. LD. CIT(A) HAS ALSO ACCEPTED TH IS POSITION THAT ORDER PASSED U/S 200A OF THE ACT IS NOT APPEALABLE BEFORE HIM. THUS, HE WAS RIGHT IN DISMISSING THE APPEAL AS NOT MAINTAINABLE. LD. CIT(A) HAS HOWEVER WHILE DISMISSING THE APPEAL HAS ADVISED THE APPELLANTS TO FILE NECESSARY CORRECTIONS STATEMENTS BEFORE THE AO(TDS) AND FOR RECTIFYING TH E ORDER U/S 200A/154 OF THE ACT WITH THE ASSESSING OFFICER AND AFTER RECTIF ICATION, PAY THE TAX AND INTEREST, IF ANY. THE FIRST APPELLATE AUTHORITY HA S FURTHER DIRECTED TO THE AO(TDS) THAT HE SHOULD GIVE APPEAL EFFECT TO THESE ORDERS WITHIN 2 MONTHS OF RECEIPT OF THE ORDERS IMMEDIATELY BY ISSUING NEC ESSARY NOTICES U/S 154 OF THE ACT TO THE ASSESSEES. HE HAS FURTHER DIRECTED THAT IF THE RECTIFICATION IS NOT POSSIBLE IN COMPUTER, THE ASSESSING OFFICER SHO ULD MANUALLY RECTIFY BY PASSING A SUITABLE ORDER IN A FORMAT SO THAT A MASS RECTIFICATION CAN BE COMPLETED QUICKLY. 4. WE ARE OF THE CONSIDERED VIEW THAT WHEN THE LD. CIT(A) WAS NOT HAVING JURISDICTION TO ENTERTAIN THE APPEAL AS THE APPEAL WAS NOT MAINTAINABLE I.T.A .NO.-3813, 3816 & 3817/DEL./2012 4 BEFORE HIM AS ON THE DATE, HE SHOULD HAVE SIMPLY D ISMISSED THE FIRST APPEAL AS NOT MAINTAINABLE. INSTEAD THE LD. CIT(A) HAS DI SPOSED OFF THE APPEALS BY PASSING THE ABOVE DIRECTION TO THE ASSESSING OFFICE R WHICH WAS BEYOND HIS JURISDICTION SINCE ADMITTEDLY THE APPEAL WAS NOT TH EN MAINTAINABLE BEFORE HIM. THE FIRST APPELLATE ORDER TO THE EXTENT GIVIN G ABOVE ADVISE TO THE ASSESSEES AND DIRECTING THE ASSESSING OFFICER TO RE CTIFY THE ORDER U/S 200A/154 IN THE MANNER GUIDED BY HIM IS HELD, PASSE D BEYOND THE JURISDICTION OF THE LD. CIT(A) AND IS THUS QUASHED. THE GROUNDS ARE ACCORDINGLY ALLOWED. 5. IN THE RESULT, THE REVENUES APPEALS ARE ALLOWED . ORDER PRONOUNCED IN THE OPEN COURT ON 28.09.2012. SD/- SD/- (A.N.PAHUJA) (I.C.SUDHIR) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 28/09/2012 *AMIT KUMAR* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI I.T.A .NO.-3813, 3816 & 3817/DEL./2012 5