Tinna Rubber & Infrastructure Ltd., New Delhi V. ACIT, Central Circle- 15, New Delhi

ITA 5233/DEL/2018

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 6535 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-12-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: 2010-2011
• Appeal Filed On: 02-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Capital asset; Capital Gains
• Section: 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI ‘G’ BENCH, NEW DELHI (THROUGH VIDEO CONFERENCING] BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER, AND SHRI AMIT SHUKLA, JUDICIAL MEMBER ITA No. 5233/DEL/2018 [A.Y 2010-11] Tinna Rubber & Infrastructure Ltd Vs. The A.C.I.T Sanjay Satpal & Associates Central Circle-15 F -11, Green Park Extension New Delhi New Delhi PAN: AAACT 3586 D (Applicant) (Respondent) Assessee By : Shri Shailesh Gupta, Adv Department By : Shri H.K. Choudhary, CIT-DR Date of Hearing : 13.12.2021 Date of Pronouncement : 13.12.2021 ORDER PER N.K. BILLAIYA, ACCOUNTANT MEMBER:- This appeal by the assessee is preferred against the order of the CIT[A]-26, New Delhi dated 13.06.2018 pertaining to Assessment Year 2010-11. 2 2. The solitary grievance of the assessee is that the ld. CIT(A) erred in confirming the penalty of Rs. 1,85,658/- levied u/s 271(1)(c) of the Income-tax Act, 1961 [hereinafter referred to as 'The Act']. 3. A perusal of the assessment order shows that the penalty proceedings have been initiated u/s 271(1)(c) of the Act on the addition made on account of capital gains of Rs. 9,01,250/- on transfer of land situated at Village Rojka, Gujjar District, Sohna, Haryana which was claimed as agricultural land but the same was denied by the Assessing Officer who made addition on account of capital gains. 4. The matter travelled upto the Tribunal and the Tribunal in ITA No. 5390/DEL/2014 has deleted the quantum addition. The relevant findings read as under:- “71. We have considered the rival submissions of the parties and also perused the material available on record. Since no change into facts and circumstances have been pointed by the Revenue, we therefore, taking the consistent view, the grounds raised in this appeal are also allowed. Our finding in ITA No.5313/Del/2014 for Assessment Year 3 2010-11 would apply mutatis mutandi to the identical grounds raised in this year as well.” 5. Sublato Fundamento Cadit Opus, meaning thereby, that in case the foundation is removed, the super structure falls. Since the foundation [addition] has been removed, the super structure i.e. penalty must fall. We, accordingly, direct the ld. CIT(A) to delete the penalty so levied. 6. In the result, the appeal of the assessee in ITA No. 5233/DEL/2018 is allowed. The order is pronounced in the open court on 13.12.2021 in the presence of both the representatives. Sd/- Sd/- [AMIT SHUKLA] [N.K. BILLAIYA] JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 13 th December, 2021 VL/ 4 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi Date of dictation Date on which the typed draft is placed before the dictating Member Date on which the typed draft is placed before the Other Member Date on which the approved draft comes to the Sr.PS/PS Date on which the fair order is placed before the Dictating Member for pronouncement Date on which the fair order comes back to the Sr.PS/PS Date on which the final order is uploaded on the website of ITAT Date on which the file goes to the Bench Clerk Date on which the file goes to the Head Clerk The date on which the file goes to the Assistant Registrar for signature on the order Date of dispatch of the Order