ITO, Ward 2(4), Kudal V. Shri Chandrakant Vaman Prabhu, Mumbai

ITA 396/PUN/2013

• Counselvise Citation: 39624514 RSA 2013
• Duration Of Justice: 2 year(s) 1 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2007-2008
• Appeal Filed On: 08-02-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B C MALAKAR
• Section: 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, PUNE BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER ITA NO.396/PN/2013 (ASSESSMENT YEAR : 2007-08) ITO, WARD-2(4), KUDAL .. APPELLANT VS. SHRI CHANDRAKANT VAMAN PRABHU, 14, ARUNODAY CO-OP HOUSING SOCIETY, ODHAVNAGAR, BORIVALI (E), MUMBAI 400 066. .. RESPONDENT PAN NO.AANPP9061B ASSESSEE BY : NONE DEPARTMENT BY : SHRI B.C. MALAKAR DATE OF HEARING : 20-03-2015 DATE OF PRONOUNCEMENT : 20-03-2015 ORDER PER R.K. PANDA, AM : THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINS T THE ORDER DATED 30-11-2012 OF THE CIT(A)-KOLHAPUR RELATING TO ASSESSMENT YEAR 2007-08. 2. NON APPEARED ON BEHALF OF THE ASSESSEE AT THE TI ME OF HEARING. HOWEVER, THIS BEING A COVERED MATTER, THE REFORE, THE APPEAL WAS TAKEN UP FOR HEARING ON THE BASIS OF MAT ERIAL AVAILABLE ON RECORD AND AFTER HEARING THE LD. DEPARTMENTAL RE PRESENTATIVE. 3. ALTHOUGH A NUMBER OF GROUNDS HAVE BEEN TAKEN BY THE REVENUE, THEY ALL RELATE TO THE ORDER OF THE CIT(A ) IN ALLOWING THE CLAIM OF EXEMPTION U/S.10(10C) ON THE EX-GRATIA AMO UNT RECEIVED BY THE ASSESSEE DUE TO VOLUNTARY RETIREMENT FROM SB I. 2 4. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESS EE WAS AN EMPLOYEE OF STATE BANK OF INDIA, CAG BRANCH, MUMBAI AND OPTED FOR VOLUNTARY RETIREMENT AS PER THE EXIT OPTION SCH EME ANNOUNCED BY THE BANK. IN HIS RETURN OF INCOME, THE ASSESSEE CLAIMED THE EX- GRATIA AMOUNT OF RS.3,38,239/- AS EXEMPT U/S.10(10C ) OF THE I.T. ACT. THE ASSESSING OFFICER IN HIS ORDER DATED 11-0 8-2010 PASSED U/S.143(3) R.W.S.147 DENIED THE CLAIM OF SUCH DEDUC TION U/S.10(10C) OF THE I.T. ACT. 5. IN APPEAL THE LD.CIT(A) FOLLOWING THE DECISIONS OF THE TRIBUNAL AS MENTIONED BELOW ALLOWED THE CLAIM OF TH E ASSESSEE: SL.NO. NAME OF THE ASSESSEE ITA NO. DATE OF ORDER I SHRI JAYANT B. RUKADIKAR ITA NO.1046/PN/2011 30-0 8-2012 II DATTATRAYA D. MARATHE ITA NO.1095/PN/2011 05-09- 2012 III SMT. JAYSHREE A. WALWADKAR ITA NO.1047/PN/2011 29-08-2012 IV SHRI RAJENDRA SAHADEV DHURAT ITA NO.1357/PN/2011 15-10-2012 6. AGGRIEVED WITH SUCH ORDER OF THE CIT(A) THE REVE NUE IS IN APPEAL BEFORE US. 7. AFTER HEARING THE LD. DEPARTMENTAL REPRESENTATIV E AND ON PERUSAL OF THE ORDERS OF THE AUTHORITIES BELOW, WE FIND THE ISSUE STANDS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE B Y VARIOUS DECISIONS OF THE COORDINATE BENCHES OF THE TRIBUNAL . WE FIND THE COORDINATE BENCH OF THE TRIBUNAL IN THE CASE OF DAT TATRAY RAJARAM SAPRE VS. DCIT VIDE ITA NO.2058/PN/2013 ORDER DATED 18-02- 2015 HAS OBSERVED AS UNDER : 3. AFTER GOING THROUGH THE RIVAL SUBMISSIONS AND MATER IAL ON RECORD, WE FIND THE ISSUE IS SQUARELY COVERED BY THE D ECISION OF THE COORDINATE BENCH OF THE TRIBUNAL IN THE CASE OF MRS. KALIKA 3 RAVINDRA MOGARE VS. ITO IN ITA NO.2106/PN/2013 ORDE R 30-10- 2014. THE RELEVANT DISCUSSION OF THE TRIBUNAL IS AS UNDE R : 3. WE HAVE HEARD THE PARTIES AND PERUSED THE RECORD. THE LD. COUNSEL SUBMITS THAT ISSUE STANDS SQUARELY COVERED IN FAVO UR OF THE ASSESSEE BY THE DECISION OF THIS TRIBUNAL IN THE CASE OF OTHER EMPLOYEES OF SBI AS WELL AS THE DECISION OF THE JURISDI CTIONAL HIGH COURT IN THE CASE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA). 4. PER CONTRA THE LD. DEPARTMENTAL REPRESENTATIVE SUB MITS THAT IT IS SPECIFICALLY POINTED OUT BY THE ASSESSING OFF ICER AS WELL AS THE LD.CIT(A) THAT THE CONDITIONS LAID DOWN IN RULE 2BA ARE NOT FULFILLED. HE PLEADED FOR CONFIRMING THE ORDER OF THE LD. COMMISSIONER. 5. WE FIND THAT THIS ISSUE STANDS SQUARELY COVERED IN FAV OUR OF THE ASSESSEE IN RESPECT OF THE ANOTHER EMPLOYEES OF THE S TATE BANK OF INDIA WHO HAD OPTED FOR THE VOLUNTARY RETIREMENT UNDER THE EXIT OPTION SCHEME FLOATED BY THE SBI IN THE CASE OF ITO, WARD- 2(2), KOLHAPUR VS. SHRI VIJAY GANPATRAO PATIL VIDE ITA NO.1045/PN/2011 ORDER DATED 29-08-2012. IN THE CASE CITED (SUPRA), HE WAS ALSO AN EMPLOYEE OF THE SBI OPTED FOR THE VOLUNTARY RETIREMENT AS PER THE EXIT OPTION SCHEME (EOS) DECLA RED BY THE BANK-EMPLOYER. IN THE SAID CASE, THE LD.CIT(A) HAS AL LOWED THE CLAIM OF THE ASSESSEE BY FOLLOWING THE DECISION IN THE C ASE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA). SO FAR AS PR ESENT ASSESSEE IS CONCERNED, WE FIND THAT THE CIT(A) KOLHAPUR HAS ADOPTED DIFFERENT APPROACH EVENTHOUGH THE ASSESSEE IS TH E EMPLOYEE OF THE SBI AND OPTED FOR THE VOLUNTARY RET IREMENT UNDER THE EOS. IN OUR OPINION, THE ASSESSEES CASE IS SQUARELY COVERED BY THE DECISION OF THE JURISDICTIONAL HIGH COURT IN THE CASE OF KOODATHIL KALLYATAN AMBUJAKSHAN (SUPRA) WHICH HAS BEE N APPROVED BY THE HONBLE SUPREME COURT IN THE CASE OF CHANDRA RANGANATHA (SUPRA). IN THE CASE OF KOODATHIL KALL YATAN AMBUJAKSHAN (SUPRA), THE RESPECTIVE ASSESSEE WAS THE EMPLO YEE OF THE RBI. SO FAR AS THE SBI IS CONCERNED, TO OUR UND ERSTANDING, THE EXIT OPTION SCHEME IS ANALOGOUS TO THAT OF THE RBI. MOREOVER, IN OUR OPINION, THE EXIT OPTION SCHEME OF THE SBI CO MPLY WITH ALL THE CONDITIONS LAID DOWN IN RULE 2BA OF THE I.T. RULES. W E, THEREFORE ALLOW THE GROUND TAKEN BY THE ASSESSEE AND DIRECT THE A SSESSING OFFICER TO ALLOW THE BASIC EXEMPTION U/S.10(10C) OF T HE ACT. 6. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED. 4. FOLLOWING THE AFORESAID PRECEDENT, WE SET ASIDE THE ORDER OF THE CIT(A)AND DIRECT THE ASSESSING OFFICER TO DELETE TH E ADDITION OF RS.3,15,600/-. 7.1 FOLLOWING THE DECISION OF THE TRIBUNAL CITED (S UPRA) AND IN ABSENCE OF ANY CONTRARY MATERIAL BROUGHT TO OUR NOT ICE BY THE LD. 4 DEPARTMENTAL REPRESENTATIVE, WE FIND NO INFIRMITY I N THE ORDER OF THE LD.CIT(A) DELETING THE DISALLOWANCE MADE BY THE ASSESSING OFFICER. ACCORDINGLY, THE SAME IS UPHELD AND THE G ROUNDS RAISED BY THE REVENUE ARE DISMISSED. 8. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ITSELF, I.E. ON 20-03-2015. SD/- (R.K. PANDA) ACCOUNTANT MEMBER PUNE DATED: 20 TH MARCH, 2015 SATISH COPY OF THE ORDER FORWARDED TO : 1. ASSESSEE 2. DEPARTMENT 3. CIT(A)-KOLHAPUR 4. THE CIT, KOLHAPUR 5. THE D.R. SMC BENCH, PUNE 6. GUARD FILE BY ORDER // TRUE COPY // ASSISTANT REGISTRAR ITAT, PUNE BENCHES, PUNE