ITO, New Delhi V. Ms. Nupur Aggarwal, New Delhi

ITA 5237/DEL/2012

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 90879 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 5 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-04-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Next Hearing Date: 19-03-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 10-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P DAM KANUNJHA
• Assessee Lawyers: DR RAM SAMUJH
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL DELHI DELHI DELHI DELHI BENCH BENCH BENCH BENCH E EE E : NEW DELHI : NEW DELHI : NEW DELHI : NEW DELHI BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA BEFORE SHRI G.C. GUPTA, VICE , VICE , VICE , VICE PRESIDENT AND PRESIDENT AND PRESIDENT AND PRESIDENT AND SHRI SHRI SHRI SHRI T.S. KAPOOR T.S. KAPOOR T.S. KAPOOR T.S. KAPOOR, , , , ACCOUNTANT ACCOUNTANT ACCOUNTANT ACCOUNTANT MEMBER MEMBER MEMBER MEMBER ITA NO ITA NO ITA NO ITA NO S SS S . .. . 5237/DEL/2012 & 5280/DEL/2012 5237/DEL/2012 & 5280/DEL/2012 5237/DEL/2012 & 5280/DEL/2012 5237/DEL/2012 & 5280/DEL/2012 ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR : : : : 2007 2007 2007 2007 - -- - 08 0808 08 INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, WARD WARD WARD WARD- -- -46(2), 46(2), 46(2), 46(2), NEW DELHI NEW DELHI NEW DELHI NEW DELHI. .. . VS. VS. VS. VS. MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, L LL L- -- -33, SARITA VIHAR, 33, SARITA VIHAR, 33, SARITA VIHAR, 33, SARITA VIHAR, NEW DELHI NEW DELHI NEW DELHI NEW DELHI 110 044. 110 044. 110 044. 110 044. PAN : AFRPA6965N. PAN : AFRPA6965N. PAN : AFRPA6965N. PAN : AFRPA6965N. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI P. DAM KANUNJHA, SR.DR. RESPONDENT BY : DR. RAM SAMUJH, ADVOCATE. DATE OF HEARING : 19 1919 19.03.2015 .03.2015 .03.2015 .03.2015 DATE OF PRONOUNCEMENT : 01.04.2015 01.04.2015 01.04.2015 01.04.2015 ORDER ORDER ORDER ORDER PER G.C. GUPTA PER G.C. GUPTA PER G.C. GUPTA PER G.C. GUPTA, VP , VP , VP , VP : :: : THESE APPEALS BY THE REVENUE FOR THE ASSESSMENT YE AR 2007-08 ARE DIRECTED AGAINST THE ORDER OF LEARNED CIT(A)-XX X, NEW DELHI DATED 16 TH JULY, 2012. THESE ARE BEING DISPOSED OF WITH THIS CONSOLIDATED ORDER. ITA NO.5237/DEL/2012 ITA NO.5237/DEL/2012 ITA NO.5237/DEL/2012 ITA NO.5237/DEL/2012 (QUANTUM APPEAL) : (QUANTUM APPEAL) : (QUANTUM APPEAL) : (QUANTUM APPEAL) :- -- - 2. AT THE OUTSET, THE LEARNED COUNSEL FOR THE ASSES SEE SUBMITTED THAT AS PER CBDTS INSTRUCTION NO.5/2014 DATED 10.0 7.2014, THE REVISED LIMIT FOR PREFERRING APPEALS BY THE REVENUE BEFORE THE ITAT IS `4 LAKHS. HE STATED THAT THE TAX EFFECT IN THE PRE SENT APPEALS OF THE REVENUE IS `2,37,200/- WHICH IS BELOW THE PRESCRIBE D LIMIT OF `4 LAKHS. HE HAS ALSO FILED A WORKING OF TAX CALCULATION TO T HIS EFFECT IN SUPPORT OF HIS ARGUMENT. HE, THEREFORE, REQUESTED THAT THE RE VENUES APPEALS MAY BE DISMISSED AS THE TAX EFFECT BEING BELOW THE PRESCRIBED LIMIT. ITA-5237 & 5280/D/2012 2 3. THE LEARNED DR SUBMITTED THAT THE ENHANCED LIMIT OF `4 LAKHS SHALL NOT BE APPLICABLE TO THE APPEALS OF THE REVEN UE FILED IN THE YEAR 2012. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND HAV E GONE THROUGH THE ORDER OF THE ASSESSING OFFICER AND THE CIT(A). WE FIND THAT THE DISPUTED AMOUNT OF TAX IN THIS CASE IS ADMITTED LY LESS THAN `4 LAKHS. THE ENHANCED LIMIT OF `4 LAKHS IS APPLICABL E TO THE PENDING APPEALS OF THE REVENUE ALSO AS HELD BY THE COORDINA TE BENCH OF THE TRIBUNAL. ACCORDINGLY, THE PRESENT APPEALS OF THE REVENUE ARE NOT MAINTAINABLE AND ARE DISMISSED IN LIMINE AS NOT ADMITTED. ITA NO.5280/DEL/2012 ITA NO.5280/DEL/2012 ITA NO.5280/DEL/2012 ITA NO.5280/DEL/2012 [UNDER SECTION 271(1)(C) [UNDER SECTION 271(1)(C) [UNDER SECTION 271(1)(C) [UNDER SECTION 271(1)(C)] : ] :] : ] :- -- - 5. THE GROUNDS OF APPEAL OF THE REVENUE ARE AS UNDE R:- ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD.CIT(A) HAS ERRED IN : (I) DELETING THE PENALTY U/S 271(1)(C) RIGHTLY LEVI ED BY THE AO. (II) DELETING THE PENALTY FOR AN AMOUNT OF RS.4,53, 340/- IGNORING THE FACT THAT THE AO HAS NOT PROVIDED THE REASONABLE OPPORTUNITIES OF BEING HEARD. 6. AT THE OUTSET, LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE PENALTY WAS LEVIED BY THE ASSESSING OFFICER UND ER SECTION 271(1)(C) OF THE ACT ON THE DISALLOWANCE OF `88,968/- AND THE DISALLOWANCE OF `1,50,000/- AND THE ADDITION OF `11,03,000/-. THE PENALTY LEVIED WAS `4,53,340/-. HE SUBMITTED THAT IN THE QUANTUM APPE AL OF THE ASSESSEE, THE CIT(A) HAS DELETED ALL THE THREE ADDITIONS AND THE REVENUE HAS PREFERRED APPEAL ONLY ON ONE GROUND OF DELETION OF ADDITION OF `11,03,000/- AND WITH REGARD TO THE OTHER TWO DISAL LOWANCES, THE REVENUE HAS ACCEPTED THE DECISION OF THE CIT(A) IN DELETING THE ADDITION. HE SUBMITTED THAT ACCORDINGLY, THE TAX E FFECT IN THE PENALTY APPEAL OF THE REVENUE COMES TO LESS THAN `4 LAKHS A ND, THEREFORE, THE ITA-5237 & 5280/D/2012 3 APPEAL IS NOT MAINTAINABLE AS PER THE CBDT INSTRUCT ION NO.5/2014 DATED 10.07.2014. MOREOVER, IN CASE THE TRIBUNAL H OLDS THAT THE REVENUES APPEAL IN THE QUANTUM CASE OF THE ASSESSE E IS NOT MAINTAINABLE DUE TO DISPUTED AMOUNT BEING LESS THAN `4 LAKHS, THE ORDER OF LEARNED CIT(A) DELETING THE ADDITIONS BECO MES FINAL AND ON THIS COUNT ALSO, NO PENALTY UNDER SECTION 271(1)(C) COUL D BE LEVIED. 7. LEARNED DR HAS SUBMITTED THAT THE ENHANCED LIMIT OF `4 LAKHS SHALL NOT BE APPLICABLE TO THE APPEALS OF THE REVEN UE FILED IN THE YEAR 2012. 8. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND HAV E PERUSED THE ORDER OF THE ASSESSING OFFICER AND THE CIT(A). WE FIND THAT THE REVENUE HAS NOT PREFERRED ANY GROUNDS OF APPEAL WIT H REGARD TO DELETION OF THE DISALLOWANCES OF `88,968/- AND `1,5 0,000/- AND, THEREFORE, THE DISPUTED PENALTY AMOUNT BEING LESS T HAN `4 LAKHS, THE PRESENT APPEAL OF THE REVENUE IS NOT MAINTAINABLE. MOREOVER, WE HAVE DISMISSED THE REVENUES APPEAL IN THE QUANTUM APPEA L OF THE REVENUE IN ITA NO.5237/DEL/2012 IN THE FOREGOING PARAGRAPHS OF THIS ORDER AND, ACCORDINGLY, THE ORDER OF LEARNED CIT(A) IN DELETIN G THE ADDITION OF `11,03,000/- BECOMES FINAL AND, THEREFORE, THERE IS NO MISTAKE IN THE ORDER OF LEARNED CIT(A) IN HOLDING THAT AS THE ASSE SSEE HAS GOT FULL RELIEF IN THE QUANTUM APPEAL, THE PENALTY IMPOSED U NDER SECTION 271(1)(C) IS DELETED. ACCORDINGLY, THE ORDER OF LE ARNED CIT(A) DELETING THE PENALTY UNDER SECTION 271(1)(C) OF THE ACT IS C ONFIRMED AND THE GROUNDS OF APPEAL OF THE REVENUE ARE DISMISSED. 9. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE A RE DISMISSED. DECISION PRONOUNCED IN THE OPEN COURT ON 1 ST APRIL, 2015. SD/- SD/- ( (( ( T.S. KAPOOR T.S. KAPOOR T.S. KAPOOR T.S. KAPOOR ) )) ) (G. (G. (G. (G. C. C.C. C. GUPTA GUPTA GUPTA GUPTA ) )) ) ACCOUNTANT ACCOUNTANT ACCOUNTANT ACCOUNTANT MEMBER MEMBER MEMBER MEMBER VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VK. ITA-5237 & 5280/D/2012 4 COPY FORWARDED TO: - 1. APPELLANT : INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, WARD WARD WARD WARD- -- -46(2), NEW DELHI. 46(2), NEW DELHI. 46(2), NEW DELHI. 46(2), NEW DELHI. 2. RESPONDENT : MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, MS. NUPUR AGGARWAL, L LL L- -- -33, SARITA VIHAR, NEW DELHI 33, SARITA VIHAR, NEW DELHI 33, SARITA VIHAR, NEW DELHI 33, SARITA VIHAR, NEW DELHI 110 044. 110 044. 110 044. 110 044. 3. CIT 4. CIT(A) 5. DR, ITAT ASSISTANT REGISTRAR