IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: FRIDAY-A: NEW DELHI BEFORE, SHRI G.S. PANNU, VICE PRESIDENT AND SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER ITA NO.7712/DEL/2019 (ASSESSMENT YEAR-2011-12) SH. RAJENDRA KUMAR, 380, AGCR ENCLAVE, DELHI-110092 PAN AAJPK 5780A VS. ASST. CIT, CIRCLE-47(1), NEW DELHI. (APPELLANT) (RESPONDENT) APPELLANT BY MR. ASHISH GOEL, CA RESPONDENT BY SH. JAGDISH SINGH, SR. DR DATE OF HEARING 20.03.2020 DATE OF PRONOUNCEMENT 13.05.2020 ORDER PER SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER: THIS APPEAL HAS BEEN PREFERRED BY THE ASSESSEE AGAI NST THE ORDER DATED 18.07.2019 PASSED BY THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-16, NEW DELHI {CIT(A)} AND PERTAINS TO ASS ESSMENT YEAR: 2011- 12 WHEREIN THE LD. CIT (A) HAS UPHELD THE IMPOSITION OF PENALTY OF RS.14,06,005/- IMPOSED U/S 271(1)(C) OF THE INCOME TAX ACT, 1961 (HEREINAFTER CALLED AS THE ACT). 2 ITA NO.7712/DEL/2019 RAJENDRA KUMAR VS. ACIT 2.0 THE BRIEF FACTS OF THE CASE ARE THAT THE RET URN OF INCOME WAS FILED AT RS.58,21,680/- AND THE ASSESSMENT WAS COMPLETED AT A N INCOME OF RS.1,13,57,590/- AFTER MAKING AN ADDITION ON ACCOUNT OF ALLEGED UNEXPLAINED INVESTMENT IN PURCHASE OF TWO PROPERTIES BY THE ASSESSEE. THE TOTAL ADDITION MADE WAS RS.53,47,387/- ON ACCOUN T OF ALLEGED DIFFERENCE/UNEXPLAINED INVESTMENT AND THE PURCHASE OF PROPERTY. APART FROM THIS, A DISALLOWANCE OF RS.4,902/- WAS ALSO MADE U/S 14A OF THE ACT. SUBSEQUENTLY, THE IMPUGNED PENALTY WAS IMPOSED AGAIN ST WHICH THE ASSESSEE PREFERRED AN APPEAL BEFORE THE LEARNED CIT (A). THE ASSESSEES APPEAL BEFORE THE LEARNED CIT (A) WAS ALSO DISMISSE D AND NOW THE ASSESSEE HAS APPROACHED THE TRIBUNAL CHALLENGING THE UPHOLDI NG OF PENALTY. 3.0 AT THE OUTSET, THE LEARNED AUTHORIZED REPRE SENTATIVE SUBMITTED THAT THE ASSESSEES APPEAL IN THE QUANTUM PROCEEDIN GS CHALLENGING THE ADDITION ON ACCOUNT OF ALLEGED INVESTMENT IN THE PU RCHASE OF PROPERTY, HAS SINCE BEEN ALLOWED BY THE ITAT VIDE ORDER DATED 27. 02.2020 IN ITA NO.1959/DEL/2017. IT WAS SUBMITTED THAT SINCE THE QU ANTUM ADDITION HAS BEEN DELETED, NO PENALTY ON SUCH ADDITION WOULD SURV IVE. 3 ITA NO.7712/DEL/2019 RAJENDRA KUMAR VS. ACIT 4.0 THE LEARNED SR. DEPARTMENTAL REPRESENTATIVE F AIRLY ACCEPTED THAT THE QUANTUM ADDITION TO WHICH THE PENALTY RELAT ED HAD BEEN DELETED BY THE TRIBUNAL. 5.0 HAVING HEARD BOTH THE PARTIES AND AFTER HAVI NG PERUSED THE ORDER OF THE TRIBUNAL IN ITA NO.1959/DEL/2017, WE AGREE WIT H THE CONTENTION OF THE LEARNED AUTHORIZED REPRESENTATIVE THAT SINCE T HE QUANTUM ADDITION HAS BEEN DELETED BY THE TRIBUNAL, THE IMPUGNED PENA LTY U/S 271(1)(C) OF THE ACT WOULD NOT SURVIVE. ACCORDINGLY, WE DELETE THE IMPUGNED PENALTY. 6.0 IN THE FINAL RESULT, THE APPEAL OF THE ASSES SEE STANDS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 13/05/2020. SD/- SD/- (G.S.PANNU) (SUDHANSHU SRIVASTAVA) VICE PRESIDENT JUDICIAL MEM BER DATED:13/05/2020 PK/PS COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI