SHREE S.K. SYNTHETICS P.LTD, MUMBAI V. ITO 4(2)3, MUMBAI

ITA 8788/MUM/2011

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 4267 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 6 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-07-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 26-06-2013
• Assessment Year: 2007-2008
• Appeal Filed On: 28-12-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JOTNILAKSHMI NAYAK

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, M UMBAI . . , . . '# '# '# '# , $ $ $ $ % % % % BEFORE SHRI R.K. GUPTA, JM, AND SHRI N. K. BILLAIYA , AM /. I.T.A. NO.8788/MUM/2011 ( & & & & '& '& '& '& / ASSESSMENT YEAR: 2007-2008) SHREE S.K. SYNTHETICS PVT. LTD., C/O BLDG. NO. 52, ROOM NO. 11, 2 ND FLOOR, 3 RD MARINE STREET, DHOBI TALAO, MUMBAI- 400002 / VS. INCOME TAX OFFICER- 4(2) (3) MUMBAI. ( $ /. )* /. PAN/GIR NO. : AAACJ1578K ( (+ / APPELLANT ) : ( ,-(+ / RESPONDENT ) (+ . / APPELLANT BY : SHRI SUNIL CHOPRA ,-(+ . / RESPONDENT BY : SHRI JOTNILAKSHMI NAYAK 0$ / DATE OF HEARING : 26.06. 2013 23' 0$ /DATE OF PRONOUNCEMENT : 10. 07. 2013 4 4 4 4 / O R D E R PER : R.K. GUPTA, JM THIS APPEAL FILED BY THE ASSESSEE AGAINST THE ORDE R OF LD. CIT(A) -8, DATED 06.08.2010, WHO CONFIRMED THE LEVY OF PENALTY U/S 271(1)(C) REL ATING TO THE ASSESSMENT YEAR 2007-08. 2. THE ASSESSING OFFICER LEVIED PENALTY ON RS. 12,3 3,707/- BEING CLOSING BALANCE OF LOANS RECEIVED FROM DIRECTORS, EQUIVALENT TO RS. 4,15,265 /-. THE CIT(A) HAS CONFIRMED THE LEVY OF PENALTY. THE COUNSEL OF THE ASSSESSEE APPEARED BEF ORE THE TRIBUNAL AND STATED THAT QUANTUM ADDITION HAS BEEN DELETED BY THE LD. CIT(A) AND NO SECOND APPEAL HAS BEEN FILED BY THE DEPARTMENT, THEREFORE, LEVY OF PENALTY IS NOT JUSTI FIED. 2 ITA 8788 (AY-2007-08) SHREE S.K. SYNTHETICV P. LTD VS. ITO 3. ON THE OTHER HAND, LD. DR PLACED RELIANCE ON ORD ER OF THE CIT(A). 4. AFTER CONSIDERING THE SUBMISSIONS, WE FOUND THAT THE BASIS ON WHICH THE PENALTY WAS LEVIED DOES NOT SURVIVE AS THE QUANTUM ADDITION OF RS. 12,33,707 ON WHICH PENALTY WAS LEVIED HAS BEEN DELETED BY THE LD. CIT(A) AND NO FURTHER A PPEAL HAS BEEN PREFERRED BY THE DEPARTMENT AS STATED BY LD. AR. SINCE, BASIS OF THE PENALTY DO ES NOT SURVIVE, NOW AS THE QUANTUM ADDITION HAS BEEN DELETED. THEREFORE, WE CANCELLED THE LEVY OF PENALTY. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. 06 &070 )0 8' ORDER PRONOUNCED ON 10 TH DAY JULY, 2013 . 4 23' 6 10.07.2013 3 SD/- SD/- ( N. K. BILLAIYA ) ( R.K. GUPTA ) $ / ACCOUNTANT MEMBER / JUDICIAL MEMBER MUMBAI: DATED : 10. 07. 2013 . /. PRAMOD KUMAR, PS 4 4 4 4 ,0 ,0 ,0 ,0 :'0 :'0 :'0 :'0 / COPY OF THE ORDER FORWARDED TO : 1. (+ / THE APPELLANT 2. ,-(+ / THE RESPONDENT 3. ; ) ( / THE CIT(A) 4. ; / CIT - CONCERNED 5. < ,0 , , / DR, ITAT, MUMBAI 6. =& > / GUARD FILE 4 4 4 4 / BY ORDER, ? ?? ? / 8 8 8 8 ) ) ) ) (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI