M.Ramalingam, Coimbatore V. ITO, Coimbatore

ITA 494/CHNY/2015

• Counselvise Citation: 49421714 RSA 2015
• Duration Of Justice: 8 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-11-2015
• Appeal Filed By: Assessee
• Bench Allotted: D
• Next Hearing Date: 16-09-2015
• Assessment Year: 2009-2010
• Appeal Filed On: 09-03-2015
• Court: TRIBUNAL
• Department Lawyers: DR MILIND MADHUKAR BHUSARI
• Assessee Lawyers: K RAGHU
• Section: 234B; 154; 15

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH : CHENNAI . . . , . !' , # $ % [ BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ] ./ I.T.A.NO.494/MDS/2015 / ASSESSMENT YEAR : 2009-10 SHRI M. RAMALINGAM 111, OOR GOUNDER THOTTAM ANNA NAGAR VELAPPANAICKENPALAYAM CHINNAVEDAMPATTI P.O COIMBATORE - 641 006 VS. THE INCOME TAX OFFICER NON-CORPORATE WARD 2(2) COIMBATORE [PAN ANLPR 8229 C ] ( &' / APPELLANT) ( ()&' /RESPONDENT) / APPELLANT BY : SHRI K RAGHU, CA /RESPONDENT BY : DR. MIL I N D MADHUKAR BHUSARI, CIT / DATE OF HEARING : 16 - 09 - 2015 ! / DATE OF PRONOUNCEMENT : 13 - 11 - 2015 / O R D E R PER N.R.S.GANESAN, JUDICIAL MEMBER THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-2, COIMBAT ORE, DATED 20.1.2015 AND PERTAINS TO ASSESSMENT YEAR 2009-10. 2. SHRI K. RAGHU, LD. REPRESENTATIVE FOR THE ASSESSEE SUBMITTED THAT THE ASSESSING OFFICER, IN A PROCEEDING U/S 15 4 OF THE ACT FOUND THAT THERE WAS A SHORT LEVY OF INTEREST U/S 234A A ND 234B OF THE ACT. ACCORDINGLY, THE ASSESSING OFFICER LEVIED INTEREST U/S 234A AND 234B ITA NO.494/15 :- 2 -: OF THE ACT. ON APPEAL BY THE ASSESSEE, THE CIT(A) CONFIRMED THE INTEREST LEVIED BY THE ASSESSING OFFICER U/S 234A AND 234B OF THE ACT. REFERRING TO THE ORDER OF THIS TRIBUNAL IN I.T.A.NO .2229/MDS/2014 DATED 21.8.2015, THE LD. REPRESENTATIVE SUBMITTED T HAT THIS TRIBUNAL FOUND THAT THE ASSESSMENT WAS MADE IN THE HANDS OF THE ASSESSEE IN INDIVIDUAL CAPACITY, AND THE LAND WHICH WAS SUBJECT MATTER OF TRANSFER WAS OWNED BY THE ASSESSEES HUF. THEREFORE, THIS TRIBUNAL QUASHED THE ORDER PASSED BY THE ASSESSING OFFICER IN THE HA NDS OF THE ASSESSEE IN INDIVIDUAL CAPACITY. HOWEVER, LIBERTY WAS GIVEN TO THE REVENUE TO ASSESS THE INCOME IN THE HANDS OF THE A SSESSEES HUF SUBJECT TO LIMITATION PROVIDED UNDER THE INCOME-TAX ACT, 1961. SINCE THE ASSESSMENT ORDER ITSELF IS QUASHED ON THE GROUN D THAT IT CANNOT BE MADE IN THE HANDS OF THE ASSESSEE IN INDIVIDUAL CA PACITY, ACCORDING TO THE LD. REPRESENTATIVE, THERE CANNOT BE ANY LEVY OF INTEREST U/S 234A AND 234B OF THE ACT. 3. WE HEARD DR.MILIND MADHUKAR BHUSARI, LD. DEPARTMENT AL REPRESENTATIVE. THE LD. DR VERY FAIRLY SUBMITTED T HAT THE ASSESSMENT ORDER WAS QUASHED BY THIS TRIBUNAL ON THE GROUND TH AT THE LAND WAS OWNED BY THE ASSESSEES HUF, THEREFORE, THERE CANNO T BE ANY ASSESSMENT OF INCOME ON TRANSFER OF THE LAND IN THE HANDS OF THE ASSESSEE IN INDIVIDUAL CAPACITY. THEREFORE, THERE CANNOT BE ANY LEVY OF INTEREST U/S 234A AND 234B OF THE ACT. ITA NO.494/15 :- 3 -: 4. WE HAVE CONSIDERED THE SUBMISSIONS OF THE LD. REPRESENTATIVE AND THE LD. DR. AS RIGHTLY SUBMITTE D BY THE LD. REPRESENTATIVE AND THE LD. DR, THIS TRIBUNAL BY AN ORDER DATED 21.8.2015 IN I.T.A.NO. 2229/MDS/2014 FOUND THAT THE LAND IN QUESTION WAS OWNED BY THE ASSESSEES HUF, THEREFORE, THERE CANNOT BE ANY ASSESSMENT IN THE HANDS OF THE ASSESSEE IN INDIVID UAL CAPACITY. ACCORDINGLY, THE VERY ASSESSMENT ORDER WAS QUASHED. AS ON TODAY THE ASSESSMENT ORDER IS NOT IN EXISTENCE, THEREFORE, THERE IS NO QUESTION OF LEVY OF INTEREST U/S 234A AND 234B OF THE ACT I N THE HANDS OF THE ASSESSEE IN INDIVIDUAL CAPACITY. IN VIEW OF THE A BOVE FACTUAL SITUATION, THIS TRIBUNAL IS UNABLE TO UPHOLD THE ORDER OF THE CIT(A). ACCORDINGLY, THE ORDERS OF THE LOWER AUTHORITIES ARE SET ASIDE A ND THE APPEAL OF THE ASSESSEE IS ALLOWED. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE STANDS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 13 TH NOVEMBER, 2015, AT CHENNAI. SD/- SD/- ( . !' ) (A. MOHAN ALANKAMONY) # / ACCOUNTANT MEMBER ( . . . ' ) (N.R.S. GANESAN) / JUDICIAL MEMBER #$ / CHENNAI %& / DATED: 13 TH NOVEMBER, 2015 RD &' ()*) / COPY TO: 1 . / APPELLANT 3. +,' / CIT(A) 5. )-. / / DR 2. / RESPONDENT 4. + / CIT 6. .01 / GF