SVP ENTERPRISES, MUMBAI V. DCIT (OSD-I) CEN RG 7, MUMBAI

ITA 7109/MUM/2014

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 8840 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 1 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-01-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: 2009-2010
• Appeal Filed On: 27-11-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VISHWAS MUNDHEDR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, MUM BAI , BEFORE SHRI RAJENDRA, A.M. AND SHRI PAWAN SINGH,J.M . ./ITA NO.7109/MUM/2014, / ASSESSMENT YEAR: 2009-10 M/S. SVP ENTERPRISES JE 8260, BHARAT DIAMOND BOURSE BKC BANDRA EAST MUMBAI-400 051 PAN: ABBFS 4425 P VS. DCIT (OSD-I), CENTRAL RANGE-7 MUMBAI. ( /APPELLANT ) ( / RESPONDENT ) REVENUE BY: SHRI VISHWAS MUNDHE-DR ASSESSEE BY: SHRI SATISH MODY / DATE OF HEARING: 05.01.2017 / DATE OF PRONOUNCEMENT: 25.01.2017 ,1961 254(1) ORDER U/S.254(1)OF THE INCOME-TAX ACT,1961(ACT) , / PER RAJENDRA A.M. - CHALLENGING THE ORDER DATED 10/09/2014 OF THE CIT ( A)-40,MUMBAI THE ASSESSEE HAS FILED THE PRESENT APPEAL. EFFECTIVE GROUND OF APPEAL IS ABOUT LEVY OF PENALTY U/S.271(1)(C) OF THE ACT. BRIEF FACTS : 2. ASSESSEE-FIRM,ENGAGED IN DIAMOND TRADING, FILED ITS RETURN OF INCOME ON 30/09/2009, DECLARING TOTAL INCOME AT RS.13.09 LAKHS.THE ASSESS ING OFFICER (AO) COMPLETED THE ASSESSMENT U/S.144 OF THE ACT ON 29/12/2011,DETERMI NING ITS INCOME AT RS.17,30,53,350/-. WHILE COMPLETING THE ASSESSMENT,HE MADE CERTAIN ADD ITIONS AND DISALLOWED SOME EXPENSES FOR WANT OF DETAILS.FURTHER, PENALTY PROCEEDINGS U/ S.271(1)(C) WERE ALSO INITIATED. THE ASSESSEE PREFERRED AN APPEAL BEFORE THE FIRST APPEL LATE AUTHORITY (FAA)AGAINST THE QUANTUM ORDER,WHO DISMISSED THE APPEAL ON THE GROUND THAT I T HAD NOT PAID THE TAXES DUE ON RETURNED INCOME, AS REQUIRED U/S.249 (4) OF THE ACT. 3. VIDE,HIS ORDER DATED 22/03/2013, THE AO LEVIED A PE NALTY OF RS. 5.52 LAKHS U/S.271(1)(C) OF THE ACT.THE ASSESSEE CHALLENGED THE PENALTY ORDER B EFORE THE FAA. AFTER CONSIDERING THE AVAILABLE MATERIAL,HE HELD THAT THE ASSESSEE HAD FU RNISHED INACCURATE PARTICULARS OF INCOME, THAT THE AO WAS JUSTIFIED IN LEVYING THE PENALTY. 7109/M/14-SVP ENTERPRISES(09-10) 2 4. DURING THE COURSE OF HEARING BEFORE US, THE AUTHORI SED REPRESENTATIVE (AR) STATED THAT WHILE DECIDING THE QUANTUM APPEAL FOR THE YEAR UNDE R CONSIDERATION,THE TRIBUNAL HAD RESTORED BACK THE ISSUE TO THE FILE OF THE FAA FOR FRESH ADJ UDICATION (ITA/1535/MUM//2013, DATED 07/09/2015). 5. AS THE QUANTUM APPEAL HAS BEEN SET ASIDE BY THE TRI BUNAL,SO,IN OUR OPINION THE PENALTY WOULD NOT SURVIVE.THE DEPARTMENTAL AUTHORITIES WOUL D BE AT LIBERTY TO DECIDE THE ISSUE OF LEVYING OR NOT LEVYING PENALTY AFTER THE DISPOSAL O F THE MAIN APPEAL.EFFECTIVE GROUND OF APPEAL IS DECIDED IN FAVOUR OF THE ASSESSEE. AS A RESULT,APPEAL FILED BY THE ASSESSEE STANDS ALL OWED. . ORDER PRONOUNCED IN THE OPEN COURT ON 25 TH JANUARY, 2017. 25 TH , 2017 SD/- SD/- ( /PAWAN SINGH) ( / RAJENDRA) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI; DATED : 25.01.2017. JV.SR.PS. / COPY OF THE ORDER FORWARDED TO : 1. APPELLANT / 2. RESPONDENT / 3. THE CONCERNED CIT(A)/ , 4. THE CONCERNED CIT / 5. DR E BENCH, ITAT, MUMBAI / , , . . . 6. GUARD FILE/ //TRUE COPY// / BY ORDER, / DY./ASST. REGISTRAR , /ITAT, MUMBAI.