Deputy Commissioner of Income Tax-2 (1), Indore V. M/s Eagle Seed & Biotech L., Indore

ITA 551/Ind/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 5089 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-10-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2003-2004
• Appeal Filed On: 03-08-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P K MITRA
• Keywords: Unexplained cash credit
• Section: 68

Judgement Text

EAGLE SEEDS - PENALTY ITA NO.551 OF 2017 1 IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ITA NO. 551/IND/2017 A.Y. 2003-04 DCIT-2(1), INDORE :: APPELLANT VS M/S. EAGLE SEEDS & BIOTECH LTD., INDORE PAN AAACE 8528 L :: RESPONDENT DEPARTMENT BY SHRI P.K. MITRA, SR. DR ASSESSEES BY SHRI AJAY TULSIYAN, CA DATE OF HEARING 15.10.2018 DATE OF PRONOUNCEMENT 17.10.2018 O R D E R PER SHRI KUL BHARAT, JM THIS APPEAL IS FILED BY THE REVENUE AGAINST THE OR DER OF LD. CIT(A)- I, INDORE DATED 17.5.2017 CHALLENGING THE DELETION OF PENALTY AT RS. 45 LACS IMPOSED BY THE ASSESSING OFFICER U/S 271(1)(C) OF THE I.T. ACT. 2. AT THE OUTSET OF THE HEARING, LD. COUNSEL FOR TH E ASSESSEE CONTENDED THAT QUANTUM ADDITION ON THE BASIS OF WHI CH PENALTY WAS LEVIED BY THE ASSESSING OFFICER HAS BEEN DELETED BY THE ITAT, INDORE, THEREFORE, PENALTY WILL NOT SURVIVE IN THE PRESENT APPEAL. LD. SR.DR EAGLE SEEDS - PENALTY ITA NO.551 OF 2017 2 CONCEDED THE FACT THAT THE QUANTUM ADDITION HAS BEE N DELETED BY THE ITAT, INDORE. 3. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE O RDERS OF LOWER AUTHORITIES. WE FIND THAT THE QUANTUM ADDITION BEIN G SHARE APPLICATION MONEY RECEIVED BY THE ASSESSEE FROM THE LUNKAD GROU P OF COMPANIES WAS MADE TO THE TOTAL INCOME TREATED AS UNEXPLAINED CASH CREDITS U/S 68 OF THE I.T. ACT AND IN ITA NO.285/IND/2012 VIDE ORD ER DATED 01.8.2016, THE ABOVE QUANTUM ADDITION HAS BEEN DELETED BY ITAT , INDORE. THUS, WHEN THE ADDITION WHICH FORMED THE BASIS FOR LEVY O F PENALTY U/S 271(1)(C) OF THE I.T. ACT HAS BEEN DELETED, THE PEN ALTY LEVIED ON THE SAME DOES NOT SURVIVE AND THEREFORE, WE CONFIRM THE ORDER OF THE LD. CIT(A). 4. IN RESULT, APPEAL FILED BY THE REVENUE IS DISMIS SED. ORDER WAS PRONOUNCED IN THE OPEN COURT ON 17.10.201 8. SD/- ( MANISH BORAD) ACCOUNTANT MEMBER SD/- (KUL BHARAT) JUDICIAL MEMBER DATED : 17.10.2018 !V..S! COPY TO: APPELLANT/RESPONDENT/CIT(A)/PR.CIT/DR, INDORE