DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, BATHINDA V. MEASAGE P.D. SHEKHSARIA TRADING COMPANY PRIVATE LIMITED, BATHINDA

ITA 620/ASR/2019

• Counselvise Citation: [2022] 106 COUNSELVISE.COM (IT) 9141 (ITAT-AMRITSAR)
• Duration Of Justice: 2 year(s) 10 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-08-2022
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2014-2015
• Appeal Filed On: 26-09-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER I.T.A. No. 620/Asr/2019 Assessment Year: 2014-15 Dy. Commissioner of Income Tax Circle-1, Bathinda [PAN: AABCP 1720E] Vs. M/s P. D. Shekhsaria Trading Co. Pvt. Ltd., 4242, Near Gurudwara Singh Street, Bathinda (Appellant) (Respondent) Appellant by : Sh. Salil Kapoor & Sumit Lalchandani, Adv. Respondent by: Sh. Chandrajit Singh, CIT DR Date of Hearing: 30.06.2022 Date of Pronouncement: 08.08.2022 ORDER Per Dr. M. L. Meena, AM: The appeal has been filed by the Revenue against the impugned order dated 26.07.2019 passed by the Ld. Commissioner of Income Tax (Appeals)-1, Amritsar (Camp at Bathinda) in respect of the Assessment Year 2014-15. ITA No. 620/Asr/2019 DCIT v. PD Shekhsaria T. C. P. Ltd. 2 2. At the outset, the ld. counsel for the assessee stated that the addition in the quantum appeal has been deleted by the ITAT Amritsar Bench vide its order dated 19.03.2019 in ITA No. 331/Asr/2018 in respect of assessment year 2014-15. In view of the aforesaid decision of the Hon’ble ITAT Amritsar Bench in quantum appeal, the ld. CIT(A) has deleted the penalty amounting to Rs. 1,55,00,000/- levied u/s 271(1)(c) of the Act. He prayed that the department appeal on the issue of penalty is not maintainable legally as the quantum addition of Rs. 4,69,47,808/- was deleted by the coordinate bench of the Tribunal. 3. The defendant, ld. DR objected to the decision of the CIT(A) contending that the addition deleted in quantum appeal by the ITAT Amritsar Bench was not accepted by the department as it has been challenged before the Hon’ble Punjab & Haryana High Court. 4. We have heard both the sides and perused the record. We find that the quantum addition of Rs. 4,69,47,808/- was deleted by the Tribunal in ITA No. 331/Asr/2018 in respect of AY 2014-15, the year under consideration. In our view, the consequential penalty levied u/s 271(1)(c) of Rs. 1,55,00,000/- has been rightly deleted by the ld. CIT(A). ITA No. 620/Asr/2019 DCIT v. PD Shekhsaria T. C. P. Ltd. 3 5. In the above view, we do not find any infirmity in the order passed by the ld. CIT(A). Accordingly, the impugned order deleting the penalty u/s 271(1)(c) is upheld. However, it is clarified that if the Jurisdictional High Court decides the matter in quantum appeal, in favor of revenue, the instant appeal would be revived accordingly. 6. In the result, the appeal of the department is dismissed in the terms indicated as above. Order pronounced in the open court on 08.08.2022. Sd/- Sd/- (Anikesh Banerjee) (Dr. M. L. Meena) Judicial Member Accountant Member *GP/Sr.PS* Copy of the order forwarded to: (1) The Appellant: (2) The Respondent: (3) The CIT(Appeals) (4) The CIT concerned (5) The Sr. DR, I.T.A.T. True Copy By Order