ITO, Kota V. RAM NARAIN GURJAR, Kota

ITA 56/JPR/2017

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 9704 (ITAT-JAIPUR)
• Duration Of Justice: 2 year(s) 5 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-06-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2008-2009
• Appeal Filed On: 16-01-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JAI SINGH CIT DHK
• Assessee Lawyers: NARESH GU PTA
• Keywords: Tax effect
• Section: 271(1)(c)

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHE S, JAIPUR JH FOT; IKY JKWO] U;KF;D LNL; ,OA JH FOE FLAG ;K NO ] YS[KK LNL; DS LE{K BEFORE: SHRI VIJAY PAL RAO, JM AND SHRI VIKRAM SING H YADAV, AM VK;DJ VIHY LA-@ ITA NO. 56/JP/2017 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2008-09. THE INCOME TAX OFFICER, WARD 2(2), KOTA. CUKE VS. SHRI RAM NARAYAN S/O LATE SHRI NANDA JI R/O KUMHARON KA MOHALLA, NEAR AKAWAD HOUSE, CHHAWANI, KOTA. LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN NO. AVVPG 9786 B VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI NARESH GUPTA (ADVOCATE) JKTLO DH VKSJ LS@ REVENUE BY : SHRI JAI SINGH (ADDL. CIT) LQUOKBZ DH RKJH[K@ DATE OF HEARING : 16.05.2019. ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 27/06/2019. VKNS'K@ ORDER PER VIJAY PAL RAO, JM : THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER DATED 27.10.2016 OF LD. CIT (APPEALS), KOTA ARISING FROM PENALTY ORDER PASSED UNDER SECTION 271(1)(C) OF THE IT ACT FOR THE ASSESSMENT YEAR 2008-09. THE RE VENUE HAS RAISED THE FOLLOWING GROUNDS :- ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE , LD. CIT (A) HAS ERRED IN :- (I) DELETING PENALTY OF RS. 14,91,027/- IMPOSED U/S 271 (1)(C) OF THE ACT WITHOUT APPRECIATING THE FACTS THAT (A) THE CIT (A) HAS HELD THAT THE BONAFIDES OF THE ASSE SSEE ARE NOT BEING BORNE OUT BY RECORDS AND CONFIRMED THE QU ANTUM ADDITIONS I.R.O. UNDISCLOSED SALE OF LAND; 2 ITA NO. 56/JP/2017 SHRI RAM NARAYAN GURJAR, KOTA. (B) THE ASSESSEE HAS NOT FILED HIS RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION AND HAS NOT DISCLOSED SALE CONS IDERATION RECEIVED ON ACCOUNT OF THE LAND DEALS, THUS FOUND I NVOLVED IN CONCEALMENT OF INCOME; (II) THE APPELLANT CRAVES LIBERTY TO RAISE ADDITIONAL GR OUND AND TO MODIFY/AMEND THE GROUND OF APPEAL AT THE TIME OF HE ARING. 2. IT IS CLEAR FROM THE GROUNDS RAISED BY THE REVEN UE THAT THE LD. CIT (A) HAS DELETED THE PENALTY OF RS. 14,91,027/- LEVIED UNDER SECTION 271(1)(C) OF THE IT ACT. AFTER HEARING BOTH THE PARTIES, WE FIND THAT THE TA X EFFECT IN THE DEPARTMENTS APPEAL IS NOT EXCEEDING RS. 20,00,000/- AS PER CBDT CIRCUL AR DATED 11 TH JULY, 2018. UNDER THE POWERS VESTED BY SECTION. 268A(1) OF THE I T AC T, CBDT HAS RECENTLY ISSUED CIRCULAR NO. 3/2018 DATED 11 TH JULY, 2018 (F NO. 279/MISC. 142/2007- ITJ(PT) INSTRUCTING THE AUTHORITIES BELOW THAT DEPA RTMENTAL APPEAL SHOULD NOT BE FILED BEFORE ITAT WHERE THE DEMAND/TA X EFFECT DOES NOT EXCEED RS. 20 LACS. THE CIRCULAR IS SPECIFICALLY ME NTIONED TO BE APPLICABLE FOR ALL PENDING APPEALS. 3. SUBJECT TO SOME EXCEPTIONS, IT IS FURTHER DIREC TED BY CBDT THAT ALL THE DEPARTMENTAL APPEALS PENDING BEFORE ITAT WHERE THE DEMAND/TAX EFFECT IS NOT EXCEEDING THAN 20 LACS SHOULD BE EITHER WITHDRAWN O R NOT PRESSED BY THE DEPARTMENTAL REPRESENTATIVES. 4. THE PRESENT APPEAL IS NOT COVERED BY ANY EXCEPT IONS MENTIONED IN THE SAID CBDT CIRCULAR. SINCE THE TAX DEMAND IN DISPUTE IN THIS DEPARTMENTAL APPEAL IS BELOW THE LIMIT SET OUT BY CBDT FOR THE APPEAL, THE APPEA L OF THE ASSESSEE IS NOT 3 ITA NO. 56/JP/2017 SHRI RAM NARAYAN GURJAR, KOTA. MAINTAINABLE IN VIEW OF CBDT CIRCULAR NO. 3 OF 2018 DATED 11.07.2018. ACCORDINGLY THE APPEAL OF THE DEPARTMENT IS DISMISSED AS NOT PR ESSED/WITHDRAWN. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER IS PRONOUNCED IN THE OPEN COURT ON 27/06/201 9. SD/- SD/- ( FOE FLAG ;KNO ) ( FOT; IKY JKWO (VIKRAM SINGH YADAV ) (VIJAY PAL RAO) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER JAIPUR DATED:- 27/06/2019. DAS/ VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT-SHRI RAM NARAYAN, KOTA. 2. THE RESPONDENT THE ITO WARD 2(2), KOTA. 3. THE CIT(A). 4. THE CIT, 5. THE DR, ITAT, JAIPUR 6. GUARD FILE (ITA NO. 56/JP/2017) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR