RAKHEE MANILAL WADHWA, MUMBAI V. ASST CIT CIR 15(2), MUMBAI

ITA 7144/MUM/2013

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 8983 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 1 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-01-2017
• Appeal Filed By: Assessee
• Bench Allotted: D
• Next Hearing Date: 25-06-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 05-12-2013
• Court: TRIBUNAL
• Assessee Lawyers: SANJAY A THAKKAR
• Keywords: Gift

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, MUMBAI BEFORE SHRI B.R. BASKARAN (AM) & SHRI RAVISH SOOD (JM) I.T.A. NO. 7144 /MUM/20 13 (ASSESSMENT YEAR 20 08 - 09 ) MS. RAKHEE MANILAL WADHWA 205, BLUE DIAMOND BUILDING JUHU TARA ROAD NEAR SNDT COLLEGE SANTAC RUZ (WEST) MUMBAI - 400 049. VS. ACIT CIRCLE - 15(2) AAYAKAR BHAVAN M.K. ROAD MUMBAI - 400020. ( APPELLANT ) ( RESPONDENT ) PAN NO . AAQPW2430C ASSESSEE BY SHRI SANJAY A. THAKKAR DEPARTMENT BY S HRI PURUSHOTTAM KUMAR DATE OF HEARING 1 0 .1 . 201 7 DATE O F PRONOUNCEMENT 10 . 1 . 201 7 O R D E R PER B.R. BASKARAN (AM) : - THE ASSESSEE HAS FILED THIS APPEAL CHALLENGING THE ORDER PASSED BY LD CIT(A) CONFIRMING THE PENALTY OF RS.1,01,970/ - LEVIED BY THE AO U/S 271(1)(C) OF THE ACT FOR ASSESSMENT YEAR 2008 - 09. 2. WE HEARD THE PARTIES AND PERUSED THE RECORD. THE ASSESSEE HAD RECEIVED A SUM OF RS.5.00 LAKHS FROM HER GRANDMOTHER. THE ASSESSEE CLAIMED THE SAME TO BE A LOAN, BUT DID NOT FURNISH ANY CONFIRMATION LETTER. LATER THE ASSESSEE SUBMITTED THAT IT WA S A GIFT RECEIVED FROM HER GRANDMOTHER AND AGREED TO OFFER THE SAME AS HER INCOME, IN ORDER TO BUY PEACE OF MIND. ACCORDINGLY THE AO ASSESSED THE ABOVE SAID SUM OF RS.5.00 LAKHS AS INCOME OF THE ASSESSEE AND LEVIED PENALTY U/S 271(1)(C) OF THE ACT. MS. RAKHEE MANILAL WADHWA 2 3. FROM THE ASSESSMENT ORDER, WE NOTICE THAT THE ASSESSING OFFICER HAS INITIATED PENALTY PROCEEDINGS FOR FURNISHING OF INACCURATE PARTICULARS OF INCOME. HOWEVER, IN THE PENALTY ORDER, THE AO HAS LEVIED PENALTY FOR CONCEALMENT OF INCOME. IN THE CASE OF CIT VS. LAKHDIR LALJI (85 ITR 79), THE HONBLE GUJARAT HIGH COURT HELD THAT THE PENALTY ORDER IS LIABLE TO BE QUASHED WHEN THE PENALTY WAS INITIATED UNDER ONE A LIMB OF SEC. 271(1)(C), BUT THE PENALTY WAS LEVIED UNDER ANOTHER LIMB, SINCE THE GROUND ON WHICH T HE PENALTY WAS INITIATED DISAPPEARED. UNDER THIS LEGAL GROUND ALONE, WE ARE OF THE VIEW THAT THE IMPUGNED PENALTY ORDER IS LIABLE TO BE QUASHED. ACCORDINGLY WE SET ASIDE THE ORDER PASSED BY LD CIT(A) AND DIRECT THE AO TO DELETE THE IMPUGNED PENALTY. 4. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. ORDER HAS BE EN PRONOUNCED IN THE COURT ON 10 . 1 .201 7. SD/ - SD/ - (RAVISH SOOD ) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBA I ; DATED : 10 / 1 / 20 1 7 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. BY ORDER, //TRUE COPY// ( DY./ASSTT. REGISTRAR) PS ITAT, MUMBAI