M/s. The Kangra Co-operative Bank Ltd., New Delhi V. ACIT, New Delhi

ITA 6795/DEL/2014

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 3420 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 1 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-02-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2008-2009
• Appeal Filed On: 16-12-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SL GUPTA
• Keywords: Bad and doubtful debts
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES D : DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER ITA.NO.6795/DEL./2014 ASSESSMENT YEAR 2008-2009 THE KANGA CO - OPERATIVE BANK LTD., C/O. JAIN KHANDELWAL & CO., C.AS. 510, NEW DELHI HOUSE, 27, BARAKHAMBA ROAD, NEW DELHI 110 001. PAN AAATT0361M VS. THE ACIT, CIRCLE-38(1), 2202, BLOCK-E-2, CIVIC CENTRE, MINTO ROAD, NEW DELHI 02. (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI S.L.GUPTA, C.A. FOR REVENUE : SHRI AMIT JAIN, CIT - D.R. DATE OF HEARING : 15.02.2018 DATE OF PRONOUNCEMENT : 15.02.2018 ORDER PER BHAVNESH SAINI, J.M. THIS APPEAL BY ASSESSEE HAS BEEN DIRECTED AGAINST THE ORDER OF THE LD. CIT(A)-XXVIII, NEW DELHI, DATE D 18 TH OCTOBER, 2014, FOR THE A.Y. 2008-2009, CHALLENGING THE LEVY OF PENALTY UNDER SECTION 271(1)(C) OF THE I.T. ACT, 19 61. 2 ITA.NO.6795/DEL./2014 THE KANGA CO-OPERATIVE BANK LTD., NEW DELHI. 2. IN THIS CASE, RETURN OF INCOME WAS FILED DECLAR ING INCOME OF RS.5,65,39,169. ASSESSMENT WAS COMPLETED UNDER SECTION 143(3) ON 24 TH DECEMBER, 2010 AT AN INCOME OF RS.5,88,39,436, DISALLOWING THE BAD DEBTS AMOUNTING TO RS.23,00,268. THE PENALTY PROCEEDINGS WERE INITIATE D UNDER SECTION 271(1)(C) OF THE ACT. THE APPEAL OF THE ASS ESSEE HAS BEEN DISMISSED BY THE LD. CIT(A) ON MERITS. THE A.O. VID E SEPARATE ORDER ON THIS ADDITION, LEVIED THE PENALTY UNDER SE CTION 271(1)(C) OF THE I.T. ACT, WHICH IS CONFIRMED BY THE LD. CIT( A) BY DISMISSING THE APPEAL OF ASSESSEE VIDE THE IMPUGNED ORDER. 3. LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT ASSESSEE PREFERRED APPEAL BEFORE THE TRIBUNAL AGAIN ST THE QUANTUM ADDITION AND THE TRIBUNAL ALLOWED THE APPEA L AND QUASHED THE ADDITION. THE A.O. PASSED THE APPEAL EF FECT ORDER UNDER SECTIONS 143(3)/254/250 OF THE I.T. ACT, 1961 DATED 08 TH DECEMBER, 2016 AND RETURN OF INCOME HAVE BEEN ACCEP TED. COPY OF THE ORDER IS PLACED ON RECORD AND PROVIDED TO THE LD. D.R. 3 ITA.NO.6795/DEL./2014 THE KANGA CO-OPERATIVE BANK LTD., NEW DELHI. 4. CONSIDERING THE ABOVE FACTS, WE ARE OF THE VIEW THAT SINCE QUANTUM ADDITION HAVE BEEN DELETED ON WHICH P ENALTY WAS LEVIED, THEREFORE, NOTHING LEFT IN FAVOUR OF TH E REVENUE TO LEVY PENALTY AGAINST THE ASSESSEE. THERE IS NO JUST IFICATION TO LEVY PENALTY AGAINST THE ASSESSEE. IN VIEW OF THE A BOVE, WE SET ASIDE THE ORDERS OF THE AUTHORITIES BELOW AND CANCE L THE PENALTY. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWE D. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (O.P. KANT) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER DELHI, DATED 15 TH FEBRUARY, 2018 VBP/- COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT D BENCH, DELHI 6. GUARD FILE. // BY ORDER // ASSESSMENT. REGISTRAR : ITAT DELHI BENCHES : DELHI.