ACIT(E), New Delhi V. India Habitate Centre, New Delhi

ITA 4187/DEL/2017

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 6410 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 7 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-02-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 23-06-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside
• Section: 143(3); 263; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES C : DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI B.R.R. KUMAR, ACCOUNTANT MEMBER ITA.NO.4187/DEL./2017 ASSESSMENT YEAR 2010-2011 THE ACIT (E), CIRCLE - 1(1), E - 2 BLOCK, PRATYAKSH KAR BHAWAN, DR. SHYAMA PRASAD MUKHERJEE CIVIC CENTRE, NEW DELHI-002. [ VS. INDIA HABITAT CENTRE, LODHI ROAD, NEW DELHI 110 003. PAN AAATO0499M ( APPELLANT ) (RESPONDENT) F OR REVENUE : MS. SUNITA SINGH, CIT - DR FOR ASSESSEE : SHRI M.P. RASOTGI, ADVOCATE DATE OF HEARING : 18 . 01 .20 2 1 DATE OF PRONOUNCEMENT : 01 . 02 .20 2 1 ORDER PER BHAVNESH SAINI, J.M. THIS APPEAL BY REVENUE HAS BEEN DIRECTED AGAINST THE ORDER OF THE LD. CIT(A)-40, DELHI, DATED 20.04.2017, FOR THE A.Y. 2010-2011. 2 ITA.NO.4187/DEL./2017 INDIA HABITAT CENTRE, NEW DELHI. 2. WE HAVE HEARD THE LEARNED REPRESENTATIVES OF BOTH THE PARTIES THROUGH VIDEO CONFERENCING AND PERUSED THE MATERIAL ON RECORD. 3. IN THIS CASE ASSESSEE FILED RETURN OF INCOME AT NIL INCOME CLAIMING EXEMPTION UNDER SECTION 11 OF THE I.T. ACT, 1961. THE A.O, HOWEVER, DISCUSSING IN DETAIL THE ACTIVITIES OF THE ASSESSEE, REJECTED THE CLAIM OF ASSESSEE FOR EXEMPTION UNDER SECTION 11 OF THE I.T. ACT, 1961. THE A.O. FURTHER HELD THAT ITS INCOME OTHER THAN INTEREST INCOME AMOUNTING TO RS.75,73,939/- COVERED UNDER PRINCIPLE OF MUTUALITY AND TREATED IT AS NON-TAXABLE. THUS, ASSESSMENT IN THIS CASE WAS COMPLETED UNDER SECTION 143(3) OF THE I.T. ACT, 1961 ON 07.03.2013. THE LD. CIT(E) PROCEEDED UNDER SECTION 263 OF THE I.T. ACT AND SET ASIDE THE ASSESSMENT ORDER AND DIRECTED THE A.O. FOR PASSING THE ORDER AFRESH. THE A.O. IN PURSUANCE TO THE DIRECTIONS OF THE LD. CIT(E), PASSED THE ASSESSMENT ORDER UNDER SECTION 143(3)/263 OF THE I.T. ACT, 1961, DATED 30.03.2015 DETERMINING THE NET TAXABLE INCOME AT RS.3,14,39,000/-. 3 ITA.NO.4187/DEL./2017 INDIA HABITAT CENTRE, NEW DELHI. 4. THE ASSESSEE CONTENDED BEFORE THE LD. CIT(A) THAT ASSESSEE PREFERRED AN APPEAL BEFORE ITAT AGAINST THE ORDER PASSED UNDER SECTION 263 OF THE I.T. ACT AND ITAT IN ITA.NO.2390/DEL./2015 VIDE ORDER DATED 18.05.2016 SETTING ASIDE THE ORDER UNDER SECTION 263 OF THE I.T. ACT AND ALLOWED THE APPEAL OF ASSESSEE. THE ORDER OF THE TRIBUNAL IS REPRODUCED IN THE APPELLATE ORDER. IT WAS EXPLAINED THAT REVENUE FILED DEPARTMENTAL APPEAL BEFORE HONBLE DELHI HIGH COURT WHICH IS DISMISSED VIDE ORDER DATED 06.02.2017 IN ITA.NO.26/2017. THE LD. CIT(A), THEREFORE, NOTED THAT SINCE THE ORDER UNDER SECTION 263 ON THE BASIS OF WHICH THE IMPUGNED ASSESSMENT ORDER UNDER SECTION 143(3)/263 WAS PASSED HAS BEEN CANCELLED BY THE TRIBUNAL AND DEPARTMENTAL APPEAL HAVE BEEN DISMISSED BY THE HONBLE DELHI HIGH COURT, THEREFORE, THE IMPUGNED ORDER IS LIABLE TO BE CANCELLED AND APPEAL OF THE ASSESSEE HAS TO BE ALLOWED. 5. AFTER CONSIDERING THE RIVAL SUBMISSIONS, WE ARE OF THE VIEW THAT NO INTERFERENCE IS CALLED FOR IN THE MATTER SINCE THE IMPUGNED ORDER HAVE BEEN PASSED PURSUANT TO THE ORDER UNDER SECTION 263 OF THE I.T. ACT, 1961, WHICH HAVE 4 ITA.NO.4187/DEL./2017 INDIA HABITAT CENTRE, NEW DELHI. BEEN SET ASIDE BY THE ITAT AND DEPARTMENTAL APPEAL HAVE BEEN DISMISSED BY THE HONBLE HIGH COURT, THEREFORE, NOTHING SURVIVE IN FAVOUR OF THE REVENUE TO FILE THE PRESENT APPEAL. THE DEPARTMENTAL APPEAL STANDS DISMISSED. 6. IN THE RESULT, APPEAL OF THE DEPARTMENT DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (B.R.R. KUMAR) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER DELHI, DATED 01 ST FEBRUARY, 2021 VBP/- COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT C BENCH, DELHI 6. GUARD FILE. // BY ORDER // ASSISTANT REGISTRAR : ITAT DELHI BENCHES : DELHI.