The Dy. Commissioner of Income Tax Circle-1(1)(2), Ahmedabad V. M/s. D.B. Corporation Ltd., Ahmedabad

ITA 612/AHD/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 2935 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 11 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-03-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2006-2007
• Appeal Filed On: 10-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: LALIT P JAIN
• Keywords: Depreciation; Additional depreciation
• Section: 143(3); 32(1)(iia); 263

Judgement Text

ITA NO. 612/AHD/2017 DCIT VS. DB CORPORATION LTD ASSESSMENT YEAR: 2006-07 PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL, AHMEDABAD BENCH D, AHMEDABAD [CORAM: JUSTICE P P BHATT, PRESIDENT, AND PRAMOD KU MAR, VICE PRESIDENT] ITA NO. 612/AHD/2017 ASSESSMENT YEAR: 2006-07 THE DY. COMMISSIONER OF INCOME-TAX ............ ..APPELLANT CIRCLE-1(1)(2), AHMEDABAD VS D.B. CORPORATION LTD .................RESP ONDENT 280, SARKHEJ GANDHINAGAR HIGHWAY, NR. YMCA CLUB, MAKARBA, AHMEDABAD 380051 [PAN : AACCM 5772 G] APPEARANCES BY LALIT P. JAIN, FOR THE APPELLANT DHINAL SHAH, FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : 05.12.2018 DATE OF PRONOUNCEMENT : 04.03.2019 O R D E R PER PRAMOD KUMAR, VICE PRESIDENT: 1. BY WAY OF THIS APPEAL, THE ASSESSING OFFICER HAS CHALLENGED CORRECTNESS OF THE ORDER DATED 29TH DECEMBER 2016 PASSED BY THE CI T(A)-1, AHMEDABAD IN THE MATTER OF ASSESSMENT UNDER SECTION 143(3) OF THE IN COME-TAX ACT, 1961, FOR THE ASSESSMENT YEAR 2006-07. 2. GRIEVANCE RAISED BY THE APPELLANT IS AS FOLLOWS: - THAT THE LD. CIT(A) ERRED IN LAW AND ON FACTS IN D ELETING THE ADDITION OF RS.1,99,60,265/- MADE U/S 32(1)(IIA) OF THE I.T. AC T ON ACCOUNT OF ADDITIONAL DEPRECIATION CLAIMED. 3. WHEN THIS APPEAL WAS CALLED OUT FOR HEARING, OUR ATTENTION WAS INVITED TO A CO- ORDINATE BENCH DECISION DATED 23.03.2017 IN THE ASS ESSEES OWN CASE (ITA NOS. 2373/AHD/2011 AND 1088/AHD/2014; DB CORP LTD VS. DC IT) WHEREBY THE CO-ORDINATE BENCH HAS QUASHED THE VERY REVISION ORDER, PASSED U NDER SECTION 263 OF THE INCOME- TAX ACT, 1961 AS A RESULT OF WHICH THE IMPUGNED P ENALTY AND THE RELATED ITA NO. 612/AHD/2017 DCIT VS. DB CORPORATION LTD ASSESSMENT YEAR: 2006-07 PAGE 2 OF 2 ASSESSMENT ORDER WAS FRAMED. IT IS POINTED OUT THA T ONCE THE REVISION ORDER STANDS QUASHED, FOR THIS SHORT REASON ALONE, ALL THE RELAT ED CONSEQUENT PROCEEDINGS ALSO CEASE TO HOLD GOOD IN LAW. WHEN LEARNED DEPARTMENT AL REPRESENTATIVE WAS CONFRONTED WITH THIS DEVELOPMENT, HE FAIRLY AGREED WITH THE PLEA CANVASSED BY THE LEARNED COUNSEL. 4. THE OBJECTION RAISED BY THE LEARNED COUNSEL IS I NDEED WELL TAKEN. AS THE RELATED REVISION PROCEEDINGS UNDER SECTION 263 STAN D QUASHED, THE CORRECTNESS OF DELETION OF IMPUGNED PENALTY, ON MERITS, IS WHOLLY ACADEMIC. THE IMPUGNED PENALTY DOES NOT HAVE ANY LEGAL BASIS AS ON NOW. THE GRIEV ANCE OF THE ASSESSING OFFICER, FOR DELETION OF IMPUGNED PENALTY, IS THUS ILL-CONCE IVED AND UNSUSTAINABLE IN LAW. WE REJECT THE SAME. 5. IN THE RESULT, THE APPEAL IS DISMISSED. PRONO UNCED IN THE OPEN COURT TODAY ON THE 4 TH DAY OF MARCH, 2019. SD/- SD/- JUSTICE P P BHATT PRAMOD KU MAR (PRESIDENT) (VICE PRESIDENT) AHMEDABAD, DATED THE 4 TH DAY OF MARCH, 2019 COPIES TO: (1) THE APPELLANT (2) THE RESPOND ENT (3) CIT (4) CIT(A) (5) DR (6) GUARD FILE BY ORDER ETC TRUE COPY ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCHES, AHMEDABAD 1. DATE OF DICTATION: ...ORDER PREPARED AS PER THE TWO PAGES MANUSCRIPTS OF HONBLE VP WHICH ARE ATTACHED HEREWITH........04.03.2019.......... 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE T HE DICTATING MEMBER: .... 04.03.2019....... 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR . P.S./P.S.: 04.03.2019... 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE TH E DICTATING MEMBER FOR PRONOUNCEMENT: 04.03.2019 5. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK : ...... 6. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK : . 7. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT RE GISTRAR FOR SIGNATURE ON THE ORDER : . 8. DATE OF DESPATCH OF THE ORDER: ......