DCIT -CIRCLE-12(10(1), MUMBAI Q, MUMBAI V. ANUPAM STATIONERY SUPERSTORE PRIVATE LIMITED , MUMBAI

ITA 6345/MUM/2019

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 2432 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 8 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-06-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 04-10-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: BRAJENDRA KUMAR
• Keywords: Bogus purchase
• Section: 22

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL , A BENCH MUMBAI BEFORE : SHRI MAHAVIR SINGH, VICE PRESIDENT & SHRI M.BALAGANESH, A CCOUNTANT M EMBER ITA NO. 6345 /MUM/ 20 19 ( ASSESSMENT YEAR : 2011 - 1 2 ) DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 12(1 )(1) ROOM NO.128C, 1 ST FLOOR AAYAKAR BHAWAN CHURCHGATE, MUMBAI 400 020 VS. M/S. ANUPAM STATIONERY SUPERSTORE PVT. LTD., 1 ST FLOOR, SAI SHOPPING MALL S.V.ROAD, BORIVALI (W) MUMBAI 400 092 PAN/GIR NO. AAACR8425P (APPELLANT ) .. (RESPONDENT ) REVENUE BY SHRI BRAJENDRA KUMAR ASSESSEE BY NONE DATE OF HEARING 21 / 06 /202 1 DATE OF PRONOUNCEMENT 22 / 06 /202 1 / O R D E R PER M. BALAGANESH (A.M) : THIS APPEAL IN ITA NO. 6345/MUM/2019 FOR A.Y. 2011 - 12 ARISES OUT OF THE ORDER BY THE LD. COM MISSIONER OF INCOME TAX (APPEALS) - 20, MUMBAI IN APPEAL NO. CIT(A) - 20/IT - 10020/2018 - 19 DATED 20/06/2019 (LD. CIT(A) IN SHORT) IN THE MATTER OF IMPOSITION OF PENALTY U/S.271(1)(C) OF THE INCOME TAX ACT, 1961 ( HEREINAFTER REFERRED TO AS ACT). 2. NONE APPEARED ON BEHALF OF ASSESSEE. WE HAVE HEARD LD. DR AND PERUSED THE MATERIAL AVAILABLE ON RECORD. WE FIND THAT THE LD. AO HAD LEVIED PENALTY ON THE ESTIMATED ADDITION MADE ON ACCOUNT OF BOGUS ITA NO . 6345/MUM/2019 M/S. ANUPAM STA TIONERY SUPERSTORE PVT. LTD., 2 PURCHASES. THIS PENALTY LEVIED U/S.271(1)(C) OF THE ACT ON AN ADDITION MADE ON ACCOUNT OF BOGUS PURCHASES WAS DELETED BY THE LD. CIT(A) ON THE PRIMARY GROUND THAT NO PENALTY WOULD SURVIVE ON AN ESTIMATED ADDITION. AGGRIEVED, THE REVENUE IS IN APPEAL BEFORE US. 3. WE FIND THAT PENALTY THAT IS IN DISPUTE BEFORE US, FALLS BELOW THE MONETARY LIMIT PRESCRIBED BY THE CBDT IN ITS CIRCULAR NO. 17/2019 DATED 08/08/2019 FOR PREFERRING APPEAL BY THE REVENUE BEFORE THIS TRIBUNAL. WE FIND THAT THE LD. DR VEHEMENTLY ARGUED THAT THE SAID CASES FALL WITHIN THE EXCEPTION PROVIDED IN PARA 10(E ) OF THE SAID CIRCULAR AND ACCORD INGLY HE ARGUED THAT THE APPEAL IS MAINTAINABLE. WE FIND THAT THE EXCEPTION PROVIDED IN PARA 10(E) OF THE CIRCULAR 17/2019 DATED 08/08/2019 IS APPLICABLE ONLY FOR THE QUANTUM PROCEEDINGS AND THE SAME CANNOT BE MADE APPLICA BLE FOR PENALTY PROCEEDINGS. IT IS WELL SETTLED THAT PENALTY AND QUANTUM ASSESSMENT PROCEEDINGS ARE DISTINCT AND SEPARATE. ACCORDINGLY, WE DISMISS THIS APPEAL OF THE REVENUE BY FOLLOWING THE AFORESAID CIRCULAR NO.17/2019 DATED 08/08/2019 AND HOLD THAT THE APPEAL OF THE REVENUE IS NOT MAINTAINABLE. 4. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED ON 22 / 06 /202 1 BY WAY OF PROPER MENTIONING IN THE NOTICE BOARD. SD/ - ( MAHAVIR SINGH ) SD/ - (M.BALAGA NESH) VICE PRESIDENT ACCOUNTANT MEMBER MUMBAI ; DATED 22 / 06 / 2021 KARUNA , SR.PS ITA NO . 6345/MUM/2019 M/S. ANUPAM STA TIONERY SUPERSTORE PVT. LTD., 3 COPY OF THE ORDER FORWARDED TO : BY ORDER, ( ASSTT. REGISTRAR) ITAT, MUMBAI 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE . //TRUE COPY//