Siddheshwar Iron and Steel Private Limited, Solapur V. Assistant Commissioner of Income-tax, Circle - 2, Solapur

ITA 494/PUN/2018

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 1479 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 2 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-05-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2007-2008
• Appeal Filed On: 18-03-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B”, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER ITA No. 494/PUN/2018 नधा रण वष / Assessment Year : 2007-08 Siddheshwar Iron & Steel Pvt. Ltd., Plot 13, Siddheshwar Peth, Solapur PAN : AAECS4034P Vs. ACIT, Circle-2, Solapur Appellant Respondent आदेश / ORDER PER R.S. SYAL, VP : This appeal by the assessee is directed against the order dated 25-01-2018 confirming the penalty of Rs.24,50,300/- imposed by the Assessing Officer (AO) u/s.271(1)(c) of the Income-tax Act, 1961 (hereinafter also called ‘the Act’) in relation to the assessment year 2007-08. 2. We have heard the rival submissions and gone through the relevant material on record. It is seen that the AO made the addition of Rs.81,67,677/- on account of cessation of liability. Thereafter, the penalty was imposed on such income vide his order Assessee by Shri K. Srinivasan Revenue by Shri M.G. Jasnani Date of hearing 23-05-2022 Date of pronouncement 23-05-2022 ITA No.494/PUN/2018 Siddheshwar Iron and Steel Pvt. Ltd., 2 dated 28-03-2016. The addition was challenged by the assessee before the Tribunal in quantum proceedings. Vide order dated 12-07-2017, the Tribunal in ITA No.650/PUN/2015 (copy placed at page 3 onwards of the paper book) has deleted the addition of Rs.81,67,677/-. While giving effect to the Tribunal order, the AO, in his order dated 07-11-2017, has reduced the total loss by excluding the relief of Rs.81.67 lakh allowed by the Tribunal. Since the very foundation of the penalty, being, the addition of Rs.81.67 lakh stands deleted by the Tribunal and no material has been placed before the Tribunal to indicate that the said order has been reversed/modified in any manner by the Hon’ble High Court, it is held that the consequential penalty order cannot stand. We, therefore, order to delete the penalty. 3. In the result, the appeal is allowed. Order pronounced in the Open Court on 23 rd May, 2022. Sd/- Sd/- (S.S. VISWANETHRA RAVI) (R.S.SYAL) JUDICIAL MEMBER VICE PRESIDENT प ु णे Pune; दनांक Dated : 23 rd May, 2022 Satish ITA No.494/PUN/2018 Siddheshwar Iron and Steel Pvt. Ltd., 3 आदेश क त ल प अ े षत/Copy of the Order is forwarded to: 1. अपीलाथ / The Appellant; 2. यथ / The Respondent; 3. The CIT(A)-7, Pune 4. 5. The Pr.CIT-6, Pune िवभागीय ितिनिध, आयकर अपीलीय अिधकरण, पुणे “B” / DR ‘B’, ITAT, Pune 6. गाड फाईल / Guard file आदेशान ु सार/ BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण ,पुणे / ITAT, Pune Date 1. Draft dictated on 23-05-2022 Sr.PS 2. Draft placed before author 23-05-2022 Sr.PS 3. Draft proposed & placed before the second member JM 4. Draft discussed/approved by Second Member. JM 5. Approved Draft comes to the Sr.PS/PS Sr.PS 6. Kept for pronouncement on Sr.PS 7. Date of uploading order Sr.PS 8. File sent to the Bench Clerk Sr.PS 9. Date on which file goes to the Head Clerk 10. Date on which file goes to the A.R. 11. Date of dispatch of Order. *