Shri Chaturbhai Bhagwanjibhai Zalaria, Morbi V. The Income Tax Office, Ward-5(4), Morbi

ITA 88/RJT/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 1304 (ITAT-RAJKOT)
• Duration Of Justice: 3 year(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-04-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 07-04-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 10-04-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Reasonable cause
• Section: 143(3); 142(1); 131; 148

Judgement Text

ITA NO S . 86 & 88 / RJT/201 3 ASSESSMENT YEAR S : 20 06 - 07 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT (CONDUCTED THROUGH E - COURT AT AHMEDABAD) BEFORE SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER AND SHRI S.S. GODARA, JUDICIAL MEMBER ITA NO. 86 /RJT/201 3 ASSESSMENT YEAR: 20 06 - 07 SHRI PRANJIVAN HI RJIBHAI THORIA, VS. INCOME TAX OFFICER, 21, YADUNANDAN PARK, WARD - 5(4), MORBI . NEAR YOGESHWAR SOCIETY, RAVAPAR ROAD, MORBI. [PAN: AA UPT 5026 R ] ITA NO.88/RJT/2013 ASSESSMENT YEAR: 20 06 - 07 SHRI CHATURBHAI BHGWANJIBHAI ZALARIA , VS. INC OME TAX OFFICER, KUMBHAR STREET , WARD - 5(4), MORBI. SUBHAS ROAD , MORBI. [PAN: AA BPZ 3806 G ] (APPELLANT S ) (RESPONDENT) APPELLANT S BY : NONE RESPONDENT BY : SHRI PRASOON KABRA , D.R. DATE OF HEARING : 0 7 .04.2016 DATE OF PRONOUNCEMENT : 22 .04.2016 O R D E R PER S.S. GODARA, J.M. THESE TWO DIFFERENT ASSESSEE S FI LED THE INSTANT APPEALS FOR A SSESSMENT YEAR 2006 - 07, AGAINST DIFFERENT ORDE R S OF THE CIT(A) - IV RAJKOT , BOTH DATED 3 1. 0 1. 2013 , IN APPEAL NO S .CIT(A ) - IV/002 0 /10 - 11 AND CIT(A ) - IV/002 1 /10 - 11 CONFIRMING IDENTICAL PENALTIES OF RS.60,000 / - EACH , IN PROCEEDINGS UNDER SECTION 271(1) (B) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT . ITA NO S . 86 & 88 / RJT/201 3 ASSESSMENT YEAR S : 20 06 - 07 PAGE 2 OF 3 2. WE COME TO RELEVANT FACTS IN THESE TWO APPEALS. THE ASSESSING OFFICER IN THE FORMER CASE REOPE NED ASSESSMENT BY ISSUING SECTION 148 NOTICE DATED 10.10.2008 SERVED ON 16.10.2008. THE ASSESSEE APPEARS TO HAVE APPEARED ON 23.10.2000 ONLY FOR GETTING RECORDED HIS SECTION 131 STATEMENT BEFORE THE INCOME TAX OFFICER, MO R BI. THE ASSESSING OFFICER INITIA TED SECTION 271 (1)(B) PENALTY PROCEEDINGS ALLEGING NON - COMPLIANCE OF VARIOUS NOTICES ISSUE D UNDER SECTION 143(2) READ WITH 142(1) ON EIGHT OCCASIONS BETWEEN 20.02.2009 TO 10.12.2009. 3. WE COME TO LATTER APPEAL NOW. THE ASSESSING OFFICER INITIATED ID ENTICAL PENALTY PROCEEDINGS ALLEGING SIMILAR NON - COMPLIANCE OF HIS NOTICES ISSUED BETWEEN 20.02.2009 TO 10.12.2009. HE WOULD ACCORDINGLY IMPOSE THESE TWO IMPUGNED PENALTIES IN ORDERS DATED 17.6.2010 AND 23.06.2010 BY HOLDING THAT THESE ASSESSEES FAILED TO EXPLAIN REASONABLE CAUSE IN ORDER TO SUPPORT THEIR ALLEGED NON - COMPLIANCE. THE CIT(A) AFFIRMS ASSESSING OFFICER S ACTION IN BOTH CASES. 4. CASES CALLED TWICE. NONE APPEARS AT ASSESSEE S BEHEST. WE FIND THAT THESE CASE FILES CONTAIN LEARNED A UTHORISED R EPRESENTATIVE S ADJOURNMENT PETITION PLEADING THAT SOME MORE TIME IS REQUIRED TO PREPARE PAPER BOOK. WE FIND FROM THE CASES RECORD THAT THE ASSESSING OFFICER COMPLETED TWO SEPARATE ASSESSMENTS; BOTH DATED 22.12.2009 UNDER SECTION 143(3) R.W.S. 147 OF THE ACT. IT COMES TO OUR NOTICE THAT A CO - ORDINATE BENCH OF T RIBUNAL IN ITA NO.25 4 4/AHD/201 1 PRAKASH DALICHAND BAG RECHA VS. ITO DECIDED ON 10.03.2016 HOLDS THAT WHEN AN ASSESSMENT IS FRAMED UNDER SECTION 143(3) OF THE ACT THE IMPUGNED SECTION 271 (1)(B) PEN ALTY IS NOT EXIGIBLE. A CATENA OF CASE LAW PROPOUNDING THE SAME PROPOSITION IS ALSO DISCUSSED THEREIN. THE REVENUE IS UNABLE TO ITA NO S . 86 & 88 / RJT/201 3 ASSESSMENT YEAR S : 20 06 - 07 PAGE 3 OF 3 POINT OUT ANY DISTINCTION ON FACTS OR LAW. WE PROCEED EX - PARTE AGAINST THE ASSESSEES AND DELETE THE IMPUGNED PENALTIES. 5. T HESE TWO APPEALS ARE ALLOWED. PRONOUNCED IN THE OPEN C OURT TODAY ON TH E 22 ND DAY OF APRIL, 2016. SD/ - SD/ - ANIL CHATURVEDI S.S. GODARA (ACCOUNTANT MEMBER) (JUDICIAL MEMBER) AHMEDABAD, THE 22 ND DAY OF APRIL , 2016 PBN/ * COPIES TO: (1) THE APPELLANT (2) THE RESPONDENT (3) COMMISSIONER (4) CIT(A) (5) DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH , RAJKOT