ITO Ward-3, Rohtak V. Arun Yadav , Bahadurgarh

ITA 437/DEL/2023

AI Insights

The case involves an appeal by the Income Tax Officer, Ward-3, Rohtak against the order of the National Faceless Appeal Centre (NFAC), Delhi, which had deleted the penalty imposed on Arun Yadav. The penalty was initially levied by the AO due to the enhanced compensation received by Yadav for his agricultural land, which was compulsorily acquired. The primary legal issue was whether the compensation received was taxable, given that it was exempt under section 10(37) of the Income Tax Act. The CIT(A) found that the compensation was indeed exempt and that Yadav had no taxable income, leading to the deletion of the penalty. The Tribunal, after hearing the arguments, concurred with the CIT(A)'s decision and dismissed the Revenue's appeal.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 115964 (ITAT-DELHI)
• Duration Of Justice: 5 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-08-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 06-08-2023
• Assessment Year: 2019-2020
• Appeal Filed On: 21-02-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘A’, NEW DELHI Before Sh. C. M. Garg, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 437/Del/2023 : Asstt. Year: 2019-20 Income Tax Officer, Ward-3 Rohtak-124001 Vs. Arun Yadav S/o. Ramphal, Village-Balour Bahadurgarh, Haryana-124001 (APPELLANT) (RESPONDENT) PAN No.BDLPK6727M Assessee by : None Revenue by : Sh. Kanv Bali, Sr. DR Date of Hearing: 07.08.2023 Date of Pronouncement: 11.08.2023 ORDER Per Dr. B. R. R. Kumar, Accountant Member: The present appeal has been filed by the Revenue against the order of National Faceless Appeal Centre (NFAC), Delhi dated 22.12.2022. 2. None attended on behalf of the assessee. 3. We find that the ld. CIT(A) has rightly deleted the penalty levied by the AO on the grounds that the amount received by the assessee is an enhanced compensation on compulsory acquisition of agricultural land which is exempt u/s 10(37) of the Act. Since, the assessee do not have any taxable income, we hold that the penalty levied u/s 270A of the Act has been rightly deleted by the ld CIT(A). ITA No. 437/Del/2023 Arun Yadav 2 4. In the result, the appeal of the Revenue is dismissed. Order Pronounced in the Open Court on 11/08/2023. Sd/- Sd/- (C. M. Garg) (Dr. B. R. R. Kumar) Judicial Member Accountant Member Dated: 11/08/2023 *Ajay Kumar Keot, Sr. PS* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR