M/s. Barnala Steel Industries Ltd., Muzaffarnagar V. ACIT, Muzaffarnagar

ITA 5998/DEL/2012

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 5507 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 3 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 05-03-2014
• Assessment Year: 2006-2007
• Appeal Filed On: 03-12-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAMESH CHANDER
• Section: 153A

Judgement Text

ITA NO. 5998/DEL/2012 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH A, NEW DELHI BEFORE SHRI R.P. TOLANI, JUDICIAL MEMBER AND SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER I.T.A. NO. 5998/DEL/2012 A.Y. : 2006-07 M/S BARNALA STEEL INDUSTRIES LTD., MEERUT ROAD, MUZAFFARNAGAR (PAN: AABCB2772Q) VS. ACIT, CIRCLE-2, MUZZAFARNAGAR (APPELLANT) (APPELLANT) (APPELLANT) (APPELLANT) (RESPONDENT) (RESPONDENT) (RESPONDENT) (RESPONDENT) ASSESSEE BY : SH. ANKIT GUPTA, ADV. DEPARTMENT BY : SH. RAMESH CHANDER, CIT(DR) ORDER ORDER ORDER ORDER PER SHAMIM YAHYA: AM PER SHAMIM YAHYA: AM PER SHAMIM YAHYA: AM PER SHAMIM YAHYA: AM THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST T HE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS), MUZAF FARNAGAR DATED 30.8.2012 PERTAINING TO ASSESSMENT YEAR 2006- 07. 2. THE ISSUE RAISED IS THAT LD. CIT(A) ERRED IN IM POSING THE PENALTY U/S. 271(1)(C) AMOUNTING TO RS. 4,57,091/-. 3. AT THE OUTSET, LD. COUNSEL OF THE ASSESSEE SUBMI TTED THAT THE ASSESSMENT ORDER PURSUANT TO WHICH THIS PENALTY IS LEVIED HAS BEEN HELD BY THE TRIBUNAL TO BE NOT SURVIVING VIDE ORD ER DATED 19.7.2013 WITH RESPECT TO THE ADDITION MADE AND THE ASSESSMEN T ORDER FOR A.Y. 2006-07 IN ASSESSEES OWN CASE. HENCE, LD. COUNSEL PRAYED THAT THIS PENALTY DOES NOT SURVIVE AND LD. COUNSEL OF T HE ASSESSEE PRAYED THAT THE PENALTY LEVIED MAY BE DELETED. ITA NO. 5998/DEL/2012 2 3.1 LD. DR ON THE OTHER HAND SUBMITTED THAT IT IS N OT CLEAR AS TO WHETHER THE ASSESSMENT ORDER PURSUANT TO WHICH T HIS PENALTY DOES NOT SURVIVE ANY MORE. 4. WE HAVE CAREFULLY CONSIDERED THE SUBMISSIONS AN D PERUSED THE RECORDS. WE FIND THAT LD. CIT(A)S ORDER IN AS SESSEES OWN CASE FOR ASSTT. YEAR 2006-07 WAS SUBJECT MATTER OF APP EAL BEFORE THE TRIBUNAL IN THE APPEAL REFERRED ABOVE. THE TRIBUNAL HAD ADJUDICATED THE ISSUE AS UNDER:- 2. AT THE TIME OF HEARING BEFORE US, IT IS STATED BY THE LEARNED COUNSEL THAT ACTION UNDER SECTION 132A OF THE INCOME TAX ACT, 1961 HAS BEEN TAKEN BY THE REVENUE AUTHORITIES AND, AS A CONSEQUENCE, NOTICE UNDER SECTION 153A WAS ISSUED. THEREAFTER, THE ASSESSMENT UNDER SECTION 153A HAS ALREADY BEEN COMPLETED FOR A.Y. 2002-03 TO 2007-08. THEREFORE, THE PRESENT ASSESSMENT WHICH IS FOR A.Y. 2006-07 GETS ABETTED. HE FURNISHED BEFORE US A COPY OF THE ASSESSMENT ORDER DATED 31 ST DECEMBER, 2009 PASSED UNDER SECTION 153A FOR A.Y. 2002-03 TO 2007-08. 3. IN VIEW OF THE ABOVE, SINCE THE ASSESSMENT HAS ALREADY BEEN ABETTED, THE PRESENT APPEAL NEEDS NO ADJUDICATION. WE ONLY HOLD THAT THE ASSESSMENT ORDER DATED 26 TH DECEMBER, 2008 FROM WHICH THESE APPELLATE PROCEEDINGS HAVE ORIGINATED DOES NOT SURVIVE AS IT HAS ABETTED DUE TO ISSUE OF NOTICE UNDER SECTION 153A AND COMPLETION OF ASSESSMENT IN PURSUANCE THERETO. SINCE THE ASSESSMENT ORDER ITA NO. 5998/DEL/2012 3 DOES NOT SURVIVE, THE APPEAL HAS BEEN INFRUCTUOUS AND NEEDS NO ADJUDICATION. 5. FROM THE ABOVE, IT IS ABUNDANTLY CLEAR THAT THE TRIBUNAL HAD HELD THAT THE ASSESSMENT ORDER FOR THE ASSTT. YEAR 2006-07 IN THE CASE OF THE ASSESSEE DOES NOT SURVIVE. IN THIS VIEW OF THE MATTER, THE PENALTY LEVIED WITH RESPECT TO THE ADDITION MADE IN THE SAID ASSESSMENT ORDER ALSO DOES NOT SURVIVE. HENCE, THI S PENALTY LEVIED IN THIS CASE IS LIABLE TO BE DELETED. ACCORDINGLY, WE SET ASIDE THE ORDERS OF THE AUTHORITIES BELOW AND DELETE THE LEVY OF PENALTY. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 24/3/2014. SD/- SD/- [ [[ [R.P. TOLAN] R.P. TOLAN] R.P. TOLAN] R.P. TOLAN] [SHAMIM YAHYA] [SHAMIM YAHYA] [SHAMIM YAHYA] [SHAMIM YAHYA] JUDICIAL MEMBER JUDICIAL MEMBER JUDICIAL MEMBER JUDICIAL MEMBER ACCOUNTANT MEMBER ACCOUNTANT MEMBER ACCOUNTANT MEMBER ACCOUNTANT MEMBER DATE 24/3/2014 SRBHATNAGAR SRBHATNAGAR SRBHATNAGAR SRBHATNAGAR COPY FORWARDED TO: COPY FORWARDED TO: COPY FORWARDED TO: COPY FORWARDED TO: - -- - 1. APPELLANT - 2. RESPONDENT - 3. CIT 4. CIT (A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR, ITAT, DELHI BENCHES ITA NO. 5998/DEL/2012 4