ITO (Exemptions), Rohtak V. Smt. Shanti Devi Educational Trust, Rewari

ITA 5327/DEL/2015

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 8012 (ITAT-DELHI)
• Duration Of Justice: 8 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-05-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 18-05-2016
• Assessment Year: 2007-2008
• Appeal Filed On: 28-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANIMA BARNWAL
• Assessee Lawyers: PRANJAL SRIVASTAVA
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES : G : NEW DELHI BEFORE SHRI R.S. SYAL, AM & MS SUCHITRA KAMBLE, JM ITA NO.5327/DEL/2015 ASSESSMENT YEAR : 2007-08 ITO (EXEMPTIONS), ROOM NO.115, AAYAKAR BHAWAN, ROHTAK. VS. SHANTI DEVI EDUCATIONAL TRUST, 315-L, MODEL TOWN, REWARI. PAN: AAHTS7087C (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI PRANJAL SRIVASTAVA, ADVOCATE DEPARTMENT BY : SMT. ANIMA BARNWAL, SR. DR DATE OF HEARING : 18.05.2016 DATE OF PRONOUNCEMENT : 18.05.2016 ORDER PER R.S. SYAL, AM: THIS APPEAL BY THE REVENUE ARISES OUT OF THE ORDER PASSED BY THE CIT(A) ON 25.6.2015 DELETING THE PENALTY OF RS.39,0 9,870/- IMPOSED BY THE AO U/S 271(1)(C) OF THE INCOME-TAX ACT, 1961. THE FIRST EFFECTIVE GROUND RAISED BY THE REVENUE IN ITS APPEAL READS AS UNDER: - I) WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE C ASE, THE LD.CIT(A) IS JUSTIFIED IN ALLOWING THE APPEAL OF THE ASSESSEE ON THE BASIS OF ORDER PASSED BY HONBLE ITAT DATED 10.12.2014 IN ITA NO.6 39/DEL/2013 WHEREIN THE ITAT DECIDED THAT ASSESSEE BE TREATED A S REGISTERED TRUST THOUGH THE TRUST WAS NOT REGISTERED U/S 12AA OF THE IT ACT, 1961 AND ITA NO.5327/DEL/2015 2 WHICH HAS NOT BEEN ACCEPTABLE BY THE DEPARTMENT AND FURTHER APPEAL TO THE HONBLE PUNJAB AND HARYANA HIGH COURT HAS BEEN FILED. 2. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE CONTENDED THAT THE ADDITIONS MADE IN THE ASSESSMENT ORDER, LEADING TO THE IMPOSITION OF PENALTY, FINALLY STAND DELETED BY THE TRIBUNAL. A COPY OF THE ORDER DATED 10.12.2014 PASSED BY THE TRIBUNAL IN ITA NO.639/DEL /2013 WAS PLACED ON RECORD. THE LD. AR ERGO CONTENDED THAT NO PENALTY CAN BE ALLOWED TO STAND. THE LD. DR THOUGH SUPPORTED THE PENALTY ORDER PASSE D BY THE AO, BUT, ADMITTED THAT THE CONTENTION ADVANCED ON BEHALF OF THE ASSESSEE WAS CORRECT. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RELEVANT MATERIAL ON RECORD. IT IS APPARENT FROM THE GROUND TAKEN BY THE REVENUE, AS REPRODUCED ABOVE, THAT THE TRIBUNAL HAS DELETED TH E ADDITIONS, LEADING TO THE IMPOSITION OF PENALTY VIDE ITS ORDER DATED 10.1 2.2014. IN VIEW OF THE FACT THAT THE ADDITIONS, CONSTITUTING THE BEDROCK O F THE INSTANT PENALTY, CEASE TO EXIST, THERE CANNOT BE ANY QUESTION OF IMPOSING OR CONFIRMING ANY PENALTY U/S 271(1)(C) OF THE ACT. WE, THEREFORE, UP HOLD THE IMPUGNED ORDER IN DELETING THE SAID PENALTY. ITA NO.5327/DEL/2015 3 4 IN THE RESULT, THE APPEAL IS DISMISSED. THE ORDER PRONOUNCED IN THE OPEN COURT ON 18.05.201 6. ; SD/- SD/- [SUCHITRA KAMBLE] [R.S. SYAL] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED, 18 TH MAY, 2016. DK COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR, ITAT AR, ITAT, NEW DELHI.