Appeal details
Counselvise Citation
[2021] 108 COUNSELVISE.COM (IT) 4979 (ITAT-MUMBAI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
2 year(s) 9 month(s) 5 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
07-04-2021
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
G
Assessment Year
2012-2013
Appeal Filed On
02-07-2018
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL G BENCH, MUMBAI BEFORE SHRI SHAMIM YAHYA , AM AND SHRI AMARJIT SINGH, JM / I .T.A. NO. 4346 /MUM/20 1 8 ( / ASSESSMENT YEAR: 2012 - 13 ) SUJATA SHAH C/O K. M. KAPADIA & ASS OCIATES 49, 1 ST FLOOR, ASHOKA SHOPPING, CENTRE, L. T. MARG, MUMBAI - 01 . / VS. ITO - 19(3)(4) MATRU MANDIR, 2 ND FLOOR, MUMBAI. ./ ./ PAN/GIR NO. : AACPV8631Q ( / APPELLANT ) .. ( / RESPONDENT ) / DATE OF HEARING : 03/03/2021 / DATE OF PRONOUNCEMENT : 07 / 0 4 / 2021 / O R D E R PER AMARJIT SINGH, J M: THE ASSESSEE HAS FILED THE PRESENT APPEAL AGAINST THE ORDER DATED 03 .0 5 .201 8 PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS) - 04 , MUMBAI [HEREINAFTE R REFERRED TO AS THE CIT(A)] RELEVANT TO THE A.Y. 20 12 - 13 IN WHICH THE PENALTY LEVIED BY AO HAS BEEN ORDERED TO BE CONFIRMED. 2 . THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS: - 1 PENALTY LEVIED U/S 271(1)(C) OF THE ACT AMOUNTING TO RS.1,90,222/ - BE DELETED. ' ASSESSEE BY : NONE REVENUE BY: SHRI T. S. KHALSA ( SR. A R) ITA. NO .4346 /M/201 8 A.Y. 20 12 - 13 2 3 . THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE FILED HER RETURN OF INCOME ON 11 . 0 7 .20 1 2 DECLARING TOTAL I NCOME TO THE TUNE OF RS. 3,69,694 / - FOR THE A.Y.2012 - 13 . THEREAFTER, THE ASSESSMENT WAS SELECTED FOR SCRUTINY AND ORDER U/S 143(3) WAS PASSED ON 09.02.2015 DETERMINING TOTAL INCOME TO THE TUNE OF RS.10,35,540/ - . THE AO HAS RAISED TH E FOLLOWING ADDITION READ AS UNDER.: - (I) DEDUCTION CLAIMED ON INTEREST PAYMENT RS.1,64,597/ - (II) LOW DRAWINGS RS.2,00,000/ - (III) UNEXPLAINED CASH DEPOSIT RS.2,00,0 00/ - (IV) CLAIM OF LOSS ON CAR SALE AND DEPRECIATION RS.1,01,250/ - TOTAL RS.6,65,847/ - THE PENALTY PROCEEDING U/S 271(1)(C) WAS INITIATED AND AFTER THE REPLY OF THE ASSESSEE, THE PE NALTY IN SUM OF RS. 1,90,222/ - WAS LEVIED. FEE LING AGGRIEVED, THE ASSESSEE FILED AN APPEAL BEFORE THE CIT(A) WHO CONFIRMED THE ORDER , THEREFORE, THE ASSESSEE HAS FILED THE PRESENT APPEAL BEFORE US. 4 . WE HAVE HEARD THE ARGUMENT ADVANCED BY THE LD. REPRESEN TATIVE OF THE REVENUE AND HAVE GONE THROUGH THE CASE CAREFULLY. WE FIND THAT THE PENALTY WAS LEVIED BY AO ON ACCOUNT OF DISALLOWANCE OF DEDUCTION CLAIM ON INTEREST PAYMENT, LOW DRAWINGS UNEXPLAINED CASH DEPOSIT , CLAIM OF LOSS OF CAR AND DEPRECIATION. DECLI NING THE CLAIM OF THE ASSESSEE NOWHERE ATTRACT THE PENALTY. P ENALTY IS NOT TO LIABLE TO BE SUSTAINABLE IN VIEW OF THE LAW SETTLED IN CIT VS. RELIANCE PETRO PRODUCTS (P) LTD. (2010) 322 ITR 158, NARESH CHAND AGARWAL V. CIT AND THE HONBLE GUJARAT HIGH COURT IN THE CASE TITLED AS NATIONAL TEXTILES VS. CIT 2001 164 CTR 2009 (GUJ) . ACCORDINGLY, IN VIEW OF THE ABOVE MENTIONED LAW (SUPRA), WE AR E OF THE VIEW THAT THE PENALTY UPON THE SAID ADDITION IS NOT JUSTIFIABLE, THEREFORE, WE ITA. NO .4346 /M/201 8 A.Y. 20 12 - 13 3 SET ASIDE TH E FINDING OF THE CIT (A) ON THIS ISSUE AND DELETE THE PENALTY. ACCORDINGLY, WE DECIDE T HIS ISSUE IN FAVOUR OF THE ASSESSEE AGAINST THE REVENUE . 5 . IN THE RESULT, THE APPEAL S FILED BY THE ASSESSEE ARE HEREBY ALLOWED . ORDER PRONOUNCED IN THE OPEN COURT ON 07 /0 4 /2021 SD/ - SD / - ( SHAMIM YAHYA ) (AMARJIT SINGH) / ACCOUNTANT MEMBER /JUDIC IAL MEMBER MUMBAI; DATED : 07 / 04 /2021 V IJAY PAL SINGH (SR. PS) / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 4. / CIT 5. , , / DR, ITAT, MUMBAI 6. / GUARD FILE. / BY ORDER, //TRUE COPY// / / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI
