Jignasha K.Yadav, Vapi V. The Tax Recovery Officer,Vapi Range, Vapi

ITA 716/AHD/2012

• Counselvise Citation: 71620514 RSA 2012
• Duration Of Justice: 1 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-05-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 27-03-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Recovery proceedings

Judgement Text

, , , , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD , .. , '# ' $ BEFORE SHRI MUKUL KR.SHRAWAT, JUDICIAL MEMBER AND SHRI T.R. MEENA, ACCOUNTANT MEMBER APPEAL(S) BY SL. NO(S). ITA NO(S) ASSESSMENT YEAR(S)/ BLOCK PERIOD APPELLANT (S) RESPONDENT(S) 1. 716/AHD/2012 BLOCK PERIOD AYS 2003-04 TO 2008-09 JIGNASHA K.YADAV PARTNER OF M/S.SATADHAR ENTERPRISES CHANDRALOK SURVEY NO.276 NR.CINE PARK SILVASS ROAD VAPI-396 195 PAN:AAGPY4597E TRO, VAPI RANGE VAPI 2. 717/AHD/2012 -DO- CHAMPABEN D.YADAV ( ADDRESS SAME AS ABOVE ) PAN:AAPPY8772N -DO- 3. 718/AHD/2012 -DO- ASHIMTA D.YADAV ( ADDRESS SAME AS ABOVE ) PAN:AAPPY5950Q -DO- 4. 719/AHD/2012 -DO- JYOTIBEN R.YADAV ( ADDRESS SAME AS ABOVE ) PAN:ABGPJ1251R -DO- 5. 720/AHD/2012 -DO- DHANANJAY D.YADAV ( ADDRESS SAME AS ABOVE ) PAN:AAGPY9613H -DO- 6. 721/AHD/2012 -DO- DAMJIBHAI K.YADAV ( ADDRESS SAME AS ABOVE ) PAN:AADPY5543K -DO- ASSESSEE(S) BY : SHRI S.N.L.AGARWALA, A.R. REVENUE BY : SHRI SHYAM PRASAD, SR.D.R. %& ' # / / / / DATE OF HEARING :21/05/2012 )*+ ' # / DATE OF PRONOUNCEMENT : 25/5/12 ',/ O R D E R PER BENCH : IN RESPECT OF ALL SIX APPEALS ARISING FROM THE ORD ERS OF LEARNED CIT(APPEALS)-VALSAD IDENTICALLY DATED 20/01/2012, T HE APPELLANTS HAVE ITA NOS.716 TO 721/AHD/2 012 JIGNASHA K.YADAV & OTHERS VS. TRO BLOCK PERIOD : AYRS 2003-04 TO 2008-09 - 2 - RAISED THE GROUND AGAINST THE CONFIRMATION OF PENAL TY LEVIED U/S.271(1)(B) OF THE I.T.ACT, 1961. 2. WE HAVE HEARD BOTH THE SIDES. PRIMA-FACIE THIS PENALTY HAS WRONGLY BEEN LEVIED BY THE TRO. AS PER THE PENALTY ORDER PASSED U/S.271(1)(B), IT IS APPARENT THAT THE IMPUGNED PEN ALTY WAS LEVIED BY TRO VAPI RANGE VAPI. WHILE LEVYING THE PENALTY, IT WAS MENTIONED THAT THERE WAS NON-COMPLIANCE OF THE SUMMONS ISSUED UNDE R RULE 83 OF SECOND SCHEDULE TO INCOME TAX ACT. THE REASON FOR LEVY OF THE IMPUGNED PENALTY AS MENTIONED BY THE TRO WAS THAT T HE ASSESSEE HAD FAILED TO COMPLY WITH THE SAID SUMMONS ISSUED UNDER RULE 83 OF SECOND SCHEDULE TO INCOME TAX ACT. HOWEVER, ON EXAMINATIO N OF THE RELEVANT PROVISION, WE HAVE FOUND THAT A PENALTY U/S.271(1)( B) CAN ONLY BE IMPOSED IF THE ASSESSEE HAS FAILED TO COMPLY WITH E ITHER OF THE FOLLOWING NOTICES:- (I) SECTION 115WD (2), (II) SECTION 115 WE (2), (III) SECTION 142(1), (IV) SECTION 143(2) & (V) SECTION 142(2A) OF THE I.T.ACT. 2.1. THE RELEVANT PORTION OF THE GOVERNING SECTION IS REPRODUCED BELOW:- 271 (1) IF THE [ASSESSING] OFFICER OR THE [COMMIS SIONER (APPEALS)] [OR THE COMMISSIONER] IN THE COURSE OF A NY PROCEEDINGS UNDER THIS ACT, IS SATISFIED THAT ANY P ERSON (B) HAS FAILED TO COMPLY WITH A NOTICE [UNDER SUB- SECTION (2) OF SECTION 115WD OR UNDER SUB-SECTION (2) OF SECTION 115WE OR] UNDER SUB-SECTION (1) OF SECTION 142 OR SUB-SECTION (2) OF SECTION ITA NOS.716 TO 721/AHD/2 012 JIGNASHA K.YADAV & OTHERS VS. TRO BLOCK PERIOD : AYRS 2003-04 TO 2008-09 - 3 - 143 [OR FAILS TO COMPLY WITH A DIRECTION ISSUED UNDER SUB-SECTION (2A) OF SECTION 142 ]. HE MAY DIRECT THAT SUCH PERSON SHALL PAY BY WAY OF PENALTY,-- (II) IN THE CASES REFERRED TO IN CLAUSE (B), IN ADD ITION TO TAX, IF ANY, PAYABLE BY HIM, A SUM OF TEN THOUSAND RUPEES FOR EA CH SUCH FAILURE. 2.2. SINCE NO SUCH NOTICE AS LISTED HEREINABOVE HAS BEEN ISSUED, THEREFORE IT WAS WRONG ON PART OF THE REVENUE OFFIC ER TO IMPOSE THE IMPUGNED PENALTY. WE HEREBY DIRECT TO DELETE THE S AME. 3. AS FAR AS THE BONAFIDES OF THESE APPELLANTS ARE CONCERNED, LD.AR MR.S.N.L.AGARWALA HAS DEMONSTRATED THAT A SUMMON UN DER RULE 83 OF THE SECOND SCHEDULE TO THE INCOME TAX ACT PERTAININ G TO RECOVERY PROCEEDINGS WAS ISSUED DATED 12/10/2010. THEREAF TER, TRO HAS ISSUED AN ANOTHER NOTICE DATED 11/11/2010 REFERRING THE AL LEGED NON-ATTENDANCE AND GRANTED 7 DAYS TIME ON RECEIPT OF THE NOTICE O F THE SAID NOTICE. IN COMPLIANCE, ON 17/11/2010 THE ASSESSEE HAS FILED A WRITTEN SUBMISSION WHEREIN IT WAS STATED THAT THERE WAS NON-COMMUNICAT ION BUT THE LEARNED CIT(APPEALS) HAS ALREADY GRANTED RELIEF FOR THE YEA RS UNDER CONSIDERATION, HOWEVER, NO ORDER GIVING EFFECT TO T HE DIRECTIONS OF THE LEARNED CIT(APPEALS)HAD BEEN PASSED BY THE ASSESSIN G OFFICER. THE ASSESSEE HAS ALSO FILED A PETITION FOR STAY OF RECO VERY TILL THE APPEAL EFFECT COULD BE GRANTED. LD.AR MR.S.N.L.AGARWALA HAS THER EAFTER INFORMED THAT VIDE AN ORDER DATED 29/03/2011 AN ORDER GIVING EFFECT TO THE DIRECTIONS OF LEARNED CIT(APPEALS) HAVE BEEN PASSED AND THEREAFTER THE OUTSTANDING DEMAND WAS SUBSTANTIALLY REDUCED. THE ASSESSEE HAS INFORMED THOSE FACTS OF REDUCTION OF OUTSTANDING DE MAND, HENCE ITA NOS.716 TO 721/AHD/2 012 JIGNASHA K.YADAV & OTHERS VS. TRO BLOCK PERIOD : AYRS 2003-04 TO 2008-09 - 4 - OTHERWISE ALSO THE ASSESSEE SHOULD NOT BE TREATED I N DEFAULT. OVERALL CIRCUMSTANCES HAVE THUS CLEARLY DEMONSTRATED THAT T HE PENALTIES ON RESPECTIVE APPELLANTS HAVE WRONGLY BEEN IMPOSED. W E HEREBY DIRECT TO DELETE THE SAME. 4. IN THE RESULT, ALL THE APPEALS OF THE ASSESSEE(S ) ARE ALLOWED. SD/- SD/- ( .. ) ( ) '# ( T.R. MEENA ) ( MUKUL KR. SHRAWAT ) ACCOUNTANT MEMBER JUDICIAL ME MBER AHMEDABAD; DATED 25/ 5 /2012 ..%, .%../ T.C. NAIR, SR. PS ', ' -. /'.+ ', ' -. /'.+ ', ' -. /'.+ ', ' -. /'.+/ COPY OF THE ORDER FORWARDED TO : 1. 01 / THE APPELLANT 2. -201 / THE RESPONDENT. 3. 3 / CONCERNED CIT 4. 3() / THE CIT(A)-VALSAD 5. .67 -% , , / DR, ITAT, AHMEDABAD 6. 78 9& / GUARD FILE. ',% ',% ',% ',% / BY ORDER, 2. - //TRUE COPY// : :: :/ // / ; ; ; ; ( DY./ASSTT.REGISTRAR) , , , , / ITAT, AHMEDABAD 1. DATE OF DICTATION21/5/12 (DICTATION-PAD PAGES 6 ATTACHED) 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 23.5.12 OTHER MEMBER 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.P. S./P.S.. 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE D ICTATING MEMBER FOR PRONOUNCEMENT 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR.P .S./P.S 25.5.12 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 25.5.12 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 8. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT RE GISTRAR FOR SIGNATURE ON THE ORDER.. 9. DATE OF DESPATCH OF THE ORDER