M/s. Roshan Motors, Muzaffarnagar V. ITO, Muzaffarnagar

ITA 5911/DEL/2015

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 6313 (ITAT-DELHI)
• Duration Of Justice: 4 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-03-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 1
• Next Hearing Date: 04-02-2016
• Assessment Year: 2010-2011
• Appeal Filed On: 02-11-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUBHAKANT SAHU

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH I - 2 NEW DELHI) BEFORE SHRI I.C. SUDHIR AND SHRI P RASHANT MAHARISHI ITA NO. 5 911 /DEL/201 5 ASSESSMENT YEAR: 20 1 0 - 1 1 ROSHAN MOTORS, VS. ITO OPPOSITE VIKAS BHAWAN, WARD 2(5), MEERUT ROAD, MUZAFFARNAGAR. MUZAFFARNAGAR. (PAN: AA GFR4087C ) (APPELLANT) (RESPONDENT) ASSESSEE BY: SHRI A NKIT GUPTA, ADV. DEPARTM ENT BY: SHRI SUBHAKANT SAHU , SR. DR DATE OF HEARING : 0 4 . 0 2 .201 6 DATE OF PRONOUNCEMENT: 22 : 0 3 .201 6 ORDER PER I.C. SUDHIR : JUDICIAL MEMBER THE ASSESSEE HAS QUESTIONED SUSTAINING OF PENALTY UNDER SECTION 271(1)(C) OF THE INCOME - TA X ACT, 1961 AT RS.61,800 BY THE LEARNED CIT(APPEALS) ON SEVERAL GROUNDS. 2. AT THE OUTSET OF HEARING, THE LEARNED AR POINTED OUT THAT THE QUANTUM APPEAL QUESTIONING THE ADDITION ON THE BASIS OF WHICH PENALTY IN QUESTION HAS BEEN LEVIED, HAS BEEN ALLOWED B Y THE ITAT FOR THE STATISTICAL PURPOSES VIDE ORDER DATED 02.12.2015 IN ITA NO. 4180/DEL/2015 (A.Y. 2010 - 11) IN THE CASE OF ASSESSEE, A COPY WHEREOF HAS BEEN MADE AVAILABLE. THE LEARNED AR SUBMITTED THAT AGAINST THE RETURNED INCOME OF RS.4,77,890, THE ASSES SMENT 2 WAS FRAMED AT THE INCOME OF RS.6,78,780 . THE ASSESSEE HAD PREFERRED FIRST APPEAL WHEREIN THE ADDITIONS MADE BY THE ASSESSING OFFICER WERE CONFIRMED AND SEPARATE ADDITION OF RS.2 LACS WAS MADE RESULTING IN ENHANCEMENT OF INCOME. AGAINST THE SAID FIRST APPELLATE ORDER, THE ASSESSEE HAS PREFERRED APPEAL BEFORE THE ITAT WHICH HAS BEEN ALLOWED FOR STATISTICAL PURPOSES VIDE ORDER DATED 02.012.2015 (SUPRA). 3. THE LEARNED SENIOR DR ON THE OTHER HAND TRIED TO JUSTIFY THE FIRST APPELLATE ORDER SUSTAINING THE PENALTY. 4. CONSIDERING THE ABOVE SUBMISSIONS ESPECIALLY THE VERY ADDITIONS ON THE BASIS OF WHICH PENALTY IN QUESTION UNDER SEC. 271(1)(C) OF THE ACT WAS LEVIED HAS BEEN SET ASIDE BY THE ITAT TO THE FILE OF THE LEARNED CIT(APPEALS) FOR HIS FRESH CONSIDERAT ION, HENCE, THE PENALTY UNDER CONSIDERATION IS NOW NOT MAINTAINABLE. THE SAME IS THUS DIRECTED TO BE DELETED. THE GROUNDS INVOLVING THE ISSUE OF VALIDITY OF PENALTY LEVIED UNDER SEC. 271(1)(C) OF THE ACT AT RS.61,800 ARE THUS ALLOWED. 5 . IN RESULT, THE APPEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 22 . 0 3 . 201 6 S D/ - SD/ - ( PRASHANT MAHARISHI ) ( I.C. UDHIR ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 22 / 0 3 /201 6 MOHAN LAL 3 COPY FORWARDED T O: 1) APPELLANT 2) RESPONDENT 3) CIT 4) CIT(APPEALS) 5) DR:ITAT ASSISTANT REGISTRAR DATE DRAFT DICTATED DIRECTLY ON COMPUTER 2 2 . 0 3 .201 6 DRAFT PLACED BEFORE AUTHOR 2 2 . 0 3 .2016 DRAFT PROPOSED & PLACED BEFORE TH E SECOND MEMBER DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. 2 2 .03 .2016 APPROVED DRAFT COMES TO THE SR.PS/PS 2 3 . 0 3 .2016 KEPT FOR PRONOUNCEMENT ON 2 2 .03 .2016 FILE SENT TO THE BENCH CLERK 2 3 0 3 .2016 DATE ON WHICH FILE GOES TO THE A R DATE ON WHICH FILE GOES TO THE HEAD CLERK. DATE OF DISPATCH OF ORDER.