Govind Prasad Goenka, Kanpur V. Asstt. Commissioner of Income Tax-3, Kanpur

ITA 680/LKW/2014

• Counselvise Citation: 68023714 RSA 2014
• Duration Of Justice: 1 year(s) 2 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-11-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 28-10-2015
• Assessment Year: 2001-2002
• Appeal Filed On: 25-08-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: S C AGARWAL
• Keywords: Gift; Revised return
• Section: 139(5); 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH A, LUCKNOW BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI. A. K. GARODIA, ACCOUNTANT MEMBER ITA NO.680/LKW/2014 ASSESSMENT YEAR:2001-02 GOVIND PRASAD GOENKA KANPUR V. ASSTT. CIT RANGE III KANPUR TAN/PAN:AFJPG4969G (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI. S. C. AGARWAL, ADVOCATE RESPONDENT BY: SHRI. AMIT NIGAM, D.R. DATE OF HEARING: 28 10 2015 DATE OF PRONOUNCEMENT: 06 11 2015 O R D E R PER SUNIL KUMAR YADAV: THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. CIT(A) CONFIRMING THE PENALTY OF RS.2.87 LAKHS LEVIED UNDER SECTION 271(1)(C) OF THE INCOME-TAX ACT, 1961 (HEREINAFTER CALLED IN SHORT THE ACT') ON ACCOUNT OF SURRENDER OF INCOME OF RS.8 LAKHS. 2. DURING THE COURSE OF HEARING, THE LD. COUNSEL FOR THE ASSESSEE HAS INVITED OUR ATTENTION THAT THE ASSESSEE HAS FILED RETURN OF INCOME UNDER SECTION 139(1) OF THE ACT DECLARING THE INCOME AT RS.98,200/- ON 29.10.2001. THEREAFTER, THE ASSESSEE SUO MOTU REVISED THE RETURN OF INCOME SHOWING INCOME AT RS.8,98,920/- UNDER SECTION 139(5) OF THE ACT. THEREAFTER, NOTICE UNDER SECTION 148 OF THE ACT WAS ISSUED BY THE DEPARTMENT ON 13.3.2003 AND ACCORDINGLY ASSESSMENT WAS FRAMED ON 18.3.2004 DETERMINING THE INCOME AT RS.9,92,963/-. THE LD. COUNSEL FOR :- 2 -: THE ASSESSEE HAS FURTHER CONTENDED THAT SINCE THE ASSESSEE SUO MOTU REVISED THE RETURN OF INCOME DECLARING THE ADDITIONAL INCOME ON RS.8 LAKHS RECEIVED ON ACCOUNT GIFT, PENALTY UNDER SECTION 271(1)(C) OF THE ACT CANNOT BE LEVIED, AS NO CONCEALMENT OF INCOME WAS DETECTED BY THE REVENUE. THE LD. COUNSEL FOR THE ASSESSEE HAS FURTHER INVITED OUR ATTENTION TO THE ORDERS OF THE TRIBUNAL IN THE CASES OF VIKAS BHARTIYA VS. DCIT-2, KANPUR IN I.T.A. NO. 51/LKW/2014; SHRI. NARENDRA PRATAP BHALLA VS. ACIT-3, KANPUR IN I.T.A. NO. 309/LUC/201 AND SMT. APARNA SINGH VS. ACIT-3, KANPUR IN I.T.A. NO. 310/LUC/2010, IN WHICH THE TRIBUNAL HAS DELETED THE PENALTY UNDER IDENTICAL CIRCUMSTANCES. COPIES OF THE ORDERS OF THE TRIBUNAL ARE PLACED ON RECORD. 3. THE LD. D.R., ON THE OTHER HAND, HAS PLACED RELIANCE UPON THE ORDER OF THE LD. CIT(A). 4. HAVING CAREFULLY EXAMINED THE ORDERS OF THE LOWER AUTHORITIES IN THE LIGHT OF THE RIVAL SUBMISSIONS, WE FIND THAT THE ASSESSING OFFICER HAS LEVIED PENALTY UNDER SECTION 271(1)(C) OF THE ACT ON ACCOUNT OF ADDITIONAL INCOME DECLARED BY THE ASSESSEE IN ITS REVISED RETURN FILED UNDER SECTION 139(5) OF THE ACT. THEREAFTER, NOTICE UNDER SECTION 148 OF THE ACT WAS ISSUED TO REOPEN THE ASSESSMENT WITH REGARD TO THE RECEIPT OF GIFT BY THE ASSESSEE; WHEREAS THE ASSESSEE HIMSELF HAS DECLARED RECEIPT OF GIFT AS ADDITIONAL INCOME AND OFFERED IT TO TAX. THEREFORE, WE ARE OF THE VIEW THAT THERE IS NO CONCEALMENT OF INCOME ON THE PART OF THE ASSESSEE. SIMILAR VIEW WAS TAKEN BY THE TRIBUNAL IN THE CASE OF SHRI. NARENDRA PRATAP BHALLA VS. ACIT-3, KANPUR (SUPRA) AND SMT. APARNA SINGH VS. ACIT-3, KANPUR (SUPRA), IN WHICH UNDER IDENTICAL CIRCUMSTANCES, PENALTY LEVIED BY THE ASSESSING OFFICER WAS DELETED BY THE TRIBUNAL. MOREOVER, WE HAVE ALSO NOTICED THAT THE LD. CIT(A) HAS PASSED EX-PARTE ORDER CONFIRMING THE PENALTY AGAINST THE ASSESSEE. ON A CAREFUL PERUSAL OF RECORD, WE FIND THAT SINCE THE ASSESSEE HIMSELF HAS :- 3 -: DECLARED ADDITIONAL INCOME, PENALTY CANNOT BE LEVIED ON THE ADDITIONAL INCOME DECLARED BY THE ASSESSEE BY FILING THE REVISED RETURN OF INCOME. THEREFORE, WE FIND NO MERIT IN THE PENALTY. ACCORDINGLY WE SET ASIDE THE ORDER OF THE LD. CIT(A) AND DELETE THE PENALTY. 5. IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED. ORDER WAS PRONOUNCED IN THE OPEN COURT ON THE DATE MENTIONED ON THE CAPTIONED PAGE. SD/- SD/- [A. K. GARODIA] [SUNIL KUMAR YADAV] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED:6 TH NOVEMBER, 2015 JJ:2710 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT(A) 4. CIT 5. DR ASSISTANT REGISTRAR