ITO, WARD - 3(2) (TDS), Vijayawada V. The Special Deputy Collector(LA), Khammam

ITA 527/VIZ/2013

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 76466 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 8 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-03-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2009-2010
• Appeal Filed On: 05-07-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KOMALI KRISHNA
• Keywords: Reasonable cause

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI J.SUDHAKAR REDDY, AM AND SHRI SAKTIJIT DEY, JM ITA NO.526/VIZAG/2013 : ASST.YEAR 2008-2009 ITA NO.527/VIZAG/2013 : ASST.YEAR 2009-2010 THE INCOME TAX OFFICER (TDS) WARD 3(2) VIJAYAWADA. VS. THE SPECIAL DEPUTY COLLECTOR (LA) I.S.P.P.UNIT-I, PALONCHA KHAMMAM DISTRICT TAN : HYDS19633F. (APPELLANT) (RESPONDENT) CO NO.144/VIZAG/2013 : ASST.YEAR 2008-2009 CO NO.145/VIZAG/2013 : ASST.YEAR 2009-2010 THE SPECIAL DEPUTY COLLECTOR (LA) I.S.P.P.UNIT-I, PALONCHA KHAMMAM DISTRICT VS. THE INCOME TAX OFFICER (TDS) WARD 3(2) VIJAYAWADA. ( CROSS OBJECTOR ) (RESPONDENT) REVENUE BY : SMT.KOMALI KRISHNA, ADDL.CIT ASSESSEE BY : SHRI G.V.N.HARI DATE OF HEARING : 0 6 .03 .2014 DATE OF PRONOUNCEMENT : 0 6 .0 3 .2014 O R D E R PER J.SUDHAKAR REDDY (AM) : THESE TWO APPEALS ARE FILED BY THE REVENUE AND CROS S OBJECTIONS ARE FILED BY THE ASSESSEE. THE COMMISSIONER OF INCOME-TAX (A PPEALS), VIJAYAWADA, IN A COMMON ORDER FOR THE ASSESSMENT YEARS 2008-2009 AND 2009-2010, DELETED THE PENALTY IMPOSED BY THE ASSESSING OFFICER U/S 272A(2 )(K) FOR THE REASON THAT THE ASSESSEE HAD NOT FILED E-TDS QUARTERLY RETURNS / ST ATEMENTS U/S.200(3) OF THE ACT, IN FORM NOS.24Q AND 26Q ON THE FOLLOWING GROUNDS. (A) THE ASSESSEE HAD ACUTE SHORTAGE OF STAFF; (B) THE EMPLOYEES OF THE ASSESSEE HAD LACK OF KNOWL EDGE IN FILING E- TDS RETURNS. ITA NOS.526 & 527/VIZAG/2013 CO NOS.144 & 145/VIZAG/2013. THE SPECIAL DEPUTY COLLECTOR (LA). 2 2. HE HELD THAT THE REASONS PUT FORTH BY THE ASSESS EE ARE DEMONSTRATED REASONABLE CAUSE AND THE EXPLANATION GIVEN IS BONAF IDE. AGGRIEVED, THE REVENUE HAS FILED THIS APPEAL. 3. THE ASSESSEE FILED CROSS OBJECTIONS IN SUPPORT O F THE ORDER OF THE LEARNED CIT(A). 4. AFTER CONSIDERING RIVAL CONTENTIONS, WE FIND NO REASON TO INTERFERE IN THE ORDER OF THE LEARNED CIT(A), AS THE EXPLANATION GIV EN BY THE ASSESSEE DEMONSTRATES THAT IT HAD REASONABLE CAUSE FOR NOT F ILING QUARTERLY E-TDS RETURNS. THE EXPLANATION GIVEN IS BONAFIDE EXPLANATION, AND IN OUR VIEW, THE FIRST APPELLATE AUTHORITY WAS RIGHT IN ACCEPTING THE SAME AND CANCE LLING THESE PENALTIES. THUS, WE UPHOLD THE CANCELLATION OF PENALTIES AND DISMISS TH E APPEALS OF THE REVENUE. 5. THE CROSS OBJECTIONS ARE FILED IN SUPPORT OF THE ORDER OF THE LEARNED CIT(A). IN VIEW OF OUR DECISION IN THE CASE OF REVENUES AP PEALS, THESE CROSS OBJECTIONS ARE DISMISSED AS INFRUCTUOUS. 6. IN THE RESULT, THE REVENUES APPEALS AS WELL AS ASSESSEES CROSS OBJECTIONS ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 6 TH DAY OF MARCH, 2014. SD/- SD/- ( SAKTIJIT DEY ) (J.SUDHAKAR REDDY) JUDICIAL MEMBER ACCOUNTANT MEMBER VISAKHAPATNAM; DATED : 6 TH MARCH, 2014. DEVDAS* ITA NOS.526 & 527/VIZAG/2013 CO NOS.144 & 145/VIZAG/2013. THE SPECIAL DEPUTY COLLECTOR (LA). 3 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT, VIJAYAWADA . 4. CIT(A) VIJAYAWADA . 5. DR, ITAT, VISAKHAPATNAM. 6. GUARD FILE. BY ORDER, //TRUE COPY// (SENIOR PRIVATE SECRETARY) ITAT, VISAKHAPATNAM