U.B. COTTON P. LTD, MUMBAI V. DCIT 2(3), MUMBAI

ITA 831/MUM/2016

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 8042 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 9 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-12-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2008-2009
• Appeal Filed On: 18-02-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAURABH DESH
• Assessee Lawyers: Y N THAKKAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES F , MUMBAI BEFORE S HRI B.R. BASKARAN (AM) AND SHRI RAM LAL NEGI (JM) ITA NO. 831 /MUM/20 1 6 ASSESSMENT YEAR: 2008 - 09 M/S U B COTTON PRIVATE LTD., 7 TH FLOOR, INDIAN GLOBE CHAMBERS, 142, W.H. MARG, FORT, MUMBAI - 400001 PAN: AAACU5526C VS. THE DCIT 2(3), AAYAKAR BHAVAN, M.K. ROAD, CHURCHGATE, MUMBAI (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI Y.N. THAKKAR ( AR ) REVENUE BY : SHRI SAURABH DESHPANDE ( D R) DATE OF HEARING: 11/12 /201 7 DATE OF PRONOUNCEMENT: 11 / 12 /201 7 O R D E R PER RAM LAL NEGI, JM THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST ORDER DATED 09/12/2015 PASSED BY THE LD. COMMISSIONER OF INCOME TAX (APPEALS) - 6 , MU MBAI , FOR THE A S S ESSMENT YEAR 2008 - 09 , WHEREBY THE LD. CIT (A) HAS DISMISSED THE APPEAL FILED BY THE APPELLANT/ ASSESSEE AGAINST PENALTY ORDER PASSED BY THE AO U/S 271 (1)(C) OF THE INCOME TAX ACT, 1961 (FOR SHORT THE A CT). 2. BY WAY OF THIS APPEAL, THE ASSESSEE HAS CHALLENGED THE IMPUGNED ORDER PASSED BY THE LD. CIT (A) CONFIRMING THE PENALTY OF RS. 9,26,220/ - LEVIED BY AO U/S 271 (1)(C) OF THE ACT. 2 ITA NO. 831 / MUM/2016 ASSESSMENT YEAR: 2008 - 09 AT THE VERY OUTSET , THE LD. COUNSEL FOR THE ASSESSEE POINTED OUT THAT IN THE PRESENT CASE QUANTUM APPEAL O F THE ASSESSEE HAS BEEN SET ASIDE BY THE TRIBUNAL. SINCE, ITAT HAS SET ASIDE THE QUANTUM APPEAL TO THE FILE OF AO WITH THE DIRECTION TO PASS ASSESSMENT ORDER AFRESH IN TERMS OF THE OBSERVATIONS OF THE BENCH , THE IMPUGNED ORDER IS LIABLE TO BE SE T ASIDE . 3. AFTER HEARING THE LD. DEPARTMENTAL REPRESENTATIVE (DR) AND HAVING GONE THROUGH THE ORDER PASSED BY THE CO - ORDINATE BENCH IN QUANTUM APPEAL ITA NO. 3357/MUM/2012 , WE HOLD THAT SINCE THE QU ANTUM APPEAL HAS BEEN SET ASIDE BY THE COORDINATE BENCH OF TRIBUNA L VIDE ORDER DATED 31.05.2017, THE PENALTY ORDER DOES NOT SURVIVE. HENCE, WE SET ASIDE THE IMPUGNED ORDER PASSED BY THE LD. CIT(A) AND DELETE THE PENALTY . HOWEVER, THE AO IS AT LIBERTY TO INITIATE FRESH PENALTY PROCEEDINGS, IF NEEDED , AFTER PASSING FRESH A SSESSMENT ORDER IN TERMS OF THE DECISION OF CO - ORDINATE BENCH DATED 31/05/2017. IN THE RESULT, APPEAL FILED BY THE ASSESSEE FOR A SSESSMENT YEAR 2008 - 2009 IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 11 TH DECEMBER , 2017 . SD/ - SD/ - (B.R. BASKARAN ( RAM LAL NEGI ) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI ; DATED: 11 / 1 2 / 2017 ALINDRA, PS 3 ITA NO. 831 / MUM/2016 ASSESSMENT YEAR: 2008 - 09 / 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) , / ITAT, MUMBAI