Income tax Officer, Ward -2, Panvel V. M/s. Taloja Warehouse, Panvel

ITA 651/PUN/2022

AI Insights

The case involves an appeal by the Income Tax Officer against M/s. Taloja Warehouse concerning a penalty imposed under Section 271(1)(c) of the Income Tax Act, 1961, for alleged bogus purchases amounting to Rs.21,28,445 for the assessment year 2010-2011. The NFAC had reversed the penalty, which led to the Revenue's appeal to the Income Tax Appellate Tribunal. The tribunal, referencing a coordinate bench's decision in a similar case, found that the underlying quantum disallowance had been removed, thus invalidating the basis for the penalty.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137365 (ITAT-PUNE)
• Duration Of Justice: 4 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-01-2023
• Appeal Filed By: Department
• Order Result: DismissedDismissed
• Bench Allotted: B
• Next Hearing Date: 19-12-2022
• Assessment Year: 2010-2011
• Appeal Filed On: 25-08-2022
• Other Referred Cases: ITA.No.2941/PUN./2016
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Bogus purchase
• Section: 271(1)(c); 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B” : PUNE BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER AND DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER ITA.No.651/PUN./2022 Assessment Year 2010-2011 The Income Tax Officer, Ward-2, 2 nd Floor, Aaykar Bhavan, Plot 2 & 2A, Sector- 17, New Panvel – 410 206 Dist. Raigad. vs. M/s. Taloja Warehouse, Plot No.486, Near Panvel Tiles, Market Yard, Panvel. Dist. Raigad – 410 206 PAN AACFT2240H (Appellant) (Respondent) For Assessee : -None- For Revenue : Shri M.G. Jasnani Date of Hearing : 20.12.2022 Date of Pronouncement : 05.01.2023 ORDER PER SATBEER SINGH GODARA, J.M. These Revenue’s appeal for the assessment year 2010-2011, arises against the National Faceless Appeal Centre [in short “NFAC”], Delhi’s order dated 09.06.2022, in Din & Order No.ITBA/NFAC/S/250/2022-23/1043389835(1), involving proceedings under Section 271(1)(c) of the Income Tax Act, 1961 (in short “the Act”). 2. Case called twice. None appears at assessee’s behest. It is accordingly proceeded ex-parte therefore. 3. Coming to the Revenue’s sole substantive grievance that CIT(A) has erred in law and on facts in reversing the Assessing Officer’s action imposing section 271(1)(c) penalty of 2 ITA.No.651/PUN./2022 M/s. Taloja Warehouse, Panvel. bogus purchases disallowance/addition of Rs.21,28,445/-, it emerges during the course of hearing that this tribunal’s coordinate bench in ITA.No.2941/PUN./2016 has deleted the quantum disallowance itself leaving no legs to stand for the penalty on issue. The Revenue’s instant sole substantive grievance stands rejected for this precise reason alone. 4. These Revenue’s appeal dismissed in above terms. Order pronounced in the open Court on 05.01.2023. Sd/- Sd/- [DR. DIPAK P. RIPOTE] [SATBEER SINGH GODARA] ACCOUNTANT MEMBER JUDICIAL MEMBER Pune, Dated January, 2023 VBP/- Copy to 1. The appellant 2. The respondent 3. The Ld. CIT(A) concerned. 4. The CIT concerned 5. D.R. ITAT, Pune “B” Bench, Pune 6. Guard File. //By Order// Assistant Registrar, ITAT, Pune Benches Pune.