BAJAJ INTERNATIONAL P. LTD, MUMBAI V. DCIT 3(1), MUMBAI

ITA 7897/MUM/2011

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 9073 (ITAT-MUMBAI)
• Duration Of Justice: 5 year(s) 1 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-01-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 15-04-2015
• Assessment Year: 2003-2004
• Appeal Filed On: 22-11-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUMAN KUMARDR
• Section: 143(3); 148

Judgement Text

, INCOME-TAX APPELLATE TRIBUNAL -BBENCH MUMBAI , , BEFORE S/SH.RAJENDRA,ACCOUNTANT MEMBER AND AMARJIT SINGH,JUDICIAL MEMBER ./I.T.A./7897/MUM/2011, / ASSESSMENT YEAR: 2003-04 ./I.T.A./7898/MUM/2011, / ASSESSMENT YEAR: 2005-06 BAJAJ INTERNATIONAL PVT. LTD. 226 NARIMAN POINT MUMBAI-400 021. PAN:AAACB 0478 VS. DCIT-3(1) MUMBAI. ( /APPELLANT ) ( / RESPONDENT) / REVENUE BY: SHRI SUMAN KUMAR-DR /ASSESSEE BY: MS. SAISUDHA MULTANI / DATE OF HEARING: 08/12/2016 / DATE OF PRONOUNCEMENT: 06/01/2017 ,1961 254(1) ORDER U/S.254(1)OF THE INCOME-TAX ACT,1961(ACT) , / PER RAJENDRA A.M. - CHALLENGING THE ORDERS DATED 01/07/2011 OF THE CIT (A)-7, MUMBAI THE ASSESSEE HAS FILED THE APPEALS FOR THE ABOVE-MENTIONED TWO ASSESSMENT YEAR S(AY.S).SINCE,COMMON ISSUE I.E.LEVY OF PENALTY U/S. 271(1)(C) OF THE ACT,IS INVOLVED,TH E APPEALS WERE HEARD TOGETHER AND BEING DISPOSED OF BY WAY OF THIS COMMON ORDER.ASSESSEE-CO MPANY IS ENGAGED IN THE BUSINESS OF TRADING IN EXPORT OF ELECTRIC GOODS AND APPLIANCES. ITA/7897/MUM/2011: 2. FOR THE AY.2003-04,THE ASSESEE FILED ITS RETURN OF INCOME ON 27/01/2003,DECLARING TOTAL INCOME OF RS. 90.14 LAKHS. THE ASSESSING OFFICER (A O) COMPLETED THE ASSESSMENT U/S. 143(3) OF THE ACT,ON 28/02/2006,DETERMINING THE INCOME OF THE ASSESSEE AT RS. 97.42 LAKHS.THE MATTER WAS REOPENED AFTER ISSUING A NOTICE U/S. 148 ON THE GROUND THAT TAXABLE INCOME HAD ESCAPED ASSESSMENT ON ACCOUNT OF ILLEGAL PAYMENT OF COMMISSION TO IRAQI GOVERNMENT UNDER THE OIL FOR FOOD PROGRAMME.THE RE-ASSESSMENT WAS CO MPLETED ON 31/10/2007,WHEREIN THE INCOME OF THE ASSESSEE WAS DETERMINED AT RS.99.76 L AKHS IN VIEW OF THE DISALLOWANCE OF RS. 2.18 LAKHS. 3. DURING THE APPELLATE PROCEEDINGS,THE FIRST APPELLAT E AUTHORITY (FAA) ALLOWED PARTIAL RELIEF TO THE ASSESSEE.IT FILED APPEAL BEFORE THE TRIBUNAL .VIDE ITS ORDER DATED 30/11/2016 (ITA 6837/ MUM/2008,AY.2005-06 AND ITA/1753/MUM/2009-AY.2003-0 4),THE TRIBUNAL ALLOWED THE ASSESSEES APPEAL FOR BOTH THE YEARS.IN THE MEANWHI LE THE AO HAD INITIATED PENALTY 7897/11 &7898/11-BAJAJ INTL. 2 PROCEEDINGS AND HAD LEVIED A PENALTY OF RS.85,770/- ,VIDE HIS ORDER DATED 23/03/2010. IN THE APPELLATE PROCEEDINGS, THE FAA CONFIRMED THE PENALT Y ORDER OF THE AO. 4. BEFORE US,THE AUTHORISED REPRESENTATIVE(AR) AND THE DEPARTMENTAL REPRESENTATIVE (DR) AGREED THAT QUANTUM APPEAL HAS BEEN DECIDED IN FAVO UR OF THE ASSESSEE BY THE TRIBUNAL. CONSIDERING THE FACT THAT ADDITION MADE BY THE AO A ND CONFIRMED BY THE FAA HAVE BEEN DELETED BY THE TRIBUNAL,WHILE DECIDING THE QUANTUM APPEAL,WE REVERSE THE ORDER OF THE FAA. EFFECTIVE GROUND OF APPEAL,RAISED BY THE ASSESSEE S TANDS ALLOWED. ITA/7898/MUM/2011-AY.2005-06: FACTS OF THE CASE FOR THE YEAR UNDER CONSIDERATION ARE IDENTICAL TO THE FACTS OF THE AY.2003- 04.AS THE QUANTUM APPEAL HAS BEEN DECIDED IN FAVOUR OF THE ASSESSEE BY THE TRIBUNAL,SO,WE DELETE THE PENALTY LEVIED BY THE AO. AS A RESULT,APPEALS FILED BY THE ASSESSEE FOR BOTH THE AY.S STAND ALLOWED. . ORDER PRONOUNCED IN THE OPEN COURT ON 06 TH JANUARY, 2017. , 2017 SD/- SD/- ( / AMARJIT SINGH ) ( / RAJENDRA ) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI; DATED : 06 .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 B BENCH, ITAT, MUMBAI / , , . . . 6. GUARD FILE/ //TRUE COPY// / BY ORDER, / DY./ASST. REGISTRAR , /ITAT, MUMBAI.