ACIT CC 39, MUMBAI V. JALARAM LAND REALITY P.LTD, NAVI MUMBAI

ITA 596/MUM/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 100887 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 7 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-09-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: J
• Assessment Year: 2008-2009
• Appeal Filed On: 24-01-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S SENT H IL KUMARAN
• Section: 69C; 143(3)

Judgement Text

M/S JALARAM LAND REALTY PVT LTD ITA NO. 596 /MUM/20 1 4 1 IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH J , MUMBAI BEFORE SHRI AMIT SHUKLA , JUDICIAL MEMBER AND SHRI ASHWANI TANEJA , ACCOUNTANT MEMBER ITA NO. : 596 /MUM/20 1 4 ( ASSESSMENT YEAR: 2008 - 09 ) ASST. COMMIS SIONER OF INCOME TAX CC - 39 , R. NO. 32(1), GROUND FLOOR, AAYAKAR BHAVAN, M K ROAD, MUMBAI 400 020 VS M/S JALARAM LAND REALTY PVT LTD , 102, SAGAR DARSHAN, CTS NO. 1023/4, RAMNATH ROAD, ALIBAUG - 402 201 .: PAN: AA B C J 8107 F (APPE LLANT) (RESPONDENT) APPELLANT BY : SHRI S SENTHIL KUMARAN RESPONDENT BY : NONE /DATE OF HEARING : 08 - 0 9 - 201 5 / DATE OF PRONOUNCEMENT : 08 - 0 9 - 201 5 ORDER , . . : PER AMIT SHUKLA, J M : THE A FORESAID APPEAL HAS BEEN FILED BY THE REVENUE AGAINST IMPUGNED ORDER DATED 30.10.2013 PASSED BY CIT(A) - 41, MUMBAI IN RELATION TO THE PENALTY PROCEEDINGS U/S 271(1)(C) FOR THE ASSESSMENT YEAR 2008 - 0 9. IN ITS APPEAL, THE SOLE GROUND AS RAISED BY THE DEPARTMENT READS AS UNDER : - 1 . WHETHER ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN DELETING THE PENALTY LEVIED U/S 271(1)(C) STATING THAT THE ADDITION UNDER SECTIO N 69C DOES NOT SURVIVE SINCE THE ISSUE OF ACTION U/S 153C AND THE QUANTUM ADDITION MADE UNDER SECTION 69C OF THE I.T. ACT, 1961 HAS BEEN DELETED BY THE HONBLE ITAT, MUMBAI WITHOUT APPRECIATING THE FACT THAT DEPARTMENT HAS PREFERRED AN APPEAL AGAINST THE O RDER OF THE HONBLE ITAT, MUMBAI BEFORE THE HONBLE BOMBAY HIGH COURT AND THE ISSUES HAVE NOT ATTAINED FINALITY. 2. N ONE A PPEARED FROM THE SIDE OF THE RESPONDENT - ASSESSEE . M/S JALARAM LAND REALTY PVT LTD ITA NO. 596 /MUM/20 1 4 2 AT THE OUTSET, IT HAS BEEN ADMITTED BY THE LD. DR THAT , CIT(A) HAS DELETED THE I MPUGNED PENALTY ON THE GROUND THAT IN THE QUANTUM PROCEEDINGS, THE TRIBUNAL HAD QUASHED THE IMPUGNED ASSESSMENT ORDER ON THE GROUND THAT ACTION TAKEN U/S 153 C IS BAD IN LAW AND THEREFORE NO PENALTY CAN BE LEVIED/SUSTAINED . THE REVENUE HAS CONTESTED THE IMP UGNED ORDER ON THE GROUND THAT DEPARTMENT HAS NOT ACCEPTED THE ITAT ORDER AND HAD PREFERRED AN APPEAL BEFORE THE HONBLE HIGH COURT. 3 . IN VIEW OF THE AFORESAID ADMITTED FACT THAT THE ASSESSMENT ORDER DATED 29.12.2010 PASSED U/S 143(3) R.W.S. 153C HAS BEE N QUASHED BY THE TRIBUNAL , VIDE ORDER DATED 22.03.20 13 ON THE GROUND THAT ACTION TAKEN U/S 153C IN CASE OF THE ASSESSEE IS BAD IN LAW , THEREFORE, THE IMPUGNED PENALTY PROCEEDING ITSELF HAS NO LEGS TO STAND. NOT ONLY THAT, THE TRIBUNAL HAS EVEN DELETED THE ADDITION U/S 69C ON MERITS WHICH IS SUBJECT MATTER OF PENALTY. ACCORDINGLY, THE ORDER OF THE CIT(A) DELETING THE PENALTY IS AFFIRMED AND GROUND RAISED BY THE REVENUE IS THUS DISMISSED. 4 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCE D IN THE OPEN COURT ON 8 TH SEPTEMBER , 2015. SD/ - SD/ - ( ASHWANI TANEJA ) ( AMIT SHUKLA ) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATE: 8 TH SEPT EMBER , 2015 / COPY TO: - 1 ) / THE APPELLANT. 2 ) / THE RESPONDENT. 3) THE CIT (A) - 4 1 , MUMBAI. 4 ) THE CIT CENTRAL - III, MUMBAI. 5 ) , , / THE D.R. J BENCH, MUMBAI. 6 ) \ COPY TO GUARD FILE. M/S JALARAM LAND REALTY PVT LTD ITA NO. 596 /MUM/20 1 4 3 / BY ORDER / / TRUE COPY / / / , DY. / ASSTT. REGISTRAR I.T.A.T., MUMBAI * . . *CHAVAN, SR.PS