Tupelo Cinstructions Private Limited, Gurgaon V. JCIT, (OSD) Circle-25(2), New Delhi

ITA 8994/DEL/2019

• Counselvise Citation: [2022] 103 COUNSELVISE.COM (IT) 9063 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-11-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 19-10-2022
• Assessment Year: 2014-2015
• Appeal Filed On: 18-11-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 28

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “H” DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER & SHRI ANUBHAV SHARMA, JUDICIAL MEMBER I.T.A. No.8994/DEL/2019 Assessment Year 2014-15 M/s. Tupelo Constructions Pvt. Ltd., 875, Sector-17B, Gurgaon. Vs. JCIT (OSD), Circle-25(2), New Delhi. TAN/PAN: AAECT3335J (Appellant) (Respondent) Appellant by: Shri Manoj Kumar, AR Respondent by: Shri Pradeep Gautam, Sr.D.R Date of hearing: 20 10 2022 Date of pronouncement: 03 11 2022 O R D E R PER SHAMIM YAHYA, A.M. Th is ap p eal b y th e Assessee i s d irec t ed ag ain st th e o rd er o f th e Co mmissio n er o f In co me Tax (Ap p eals)-IX, Delhi (‘CIT(A)’ in sh o rt) d ated 3 1.1 0 .2 0 19 p ertain in g to Assessmen t Year 2 0 14 - 1 5 . 2 . Gro un d s o f ap p eal read as u n d er: “ 1 . T h a t t h e H o n o ra b l e CI T (A )- 9 h a s e r r e d i n l a w a nd o n f a c t s i n s u st a i n i n g t h e p e n a l t y o f R s . 8 , 1 2 , 2 5 4 / - o u t o f to t a l p e n a l t y o f R s. 8 8 , 2 5 , 0 4 0 / - o n u n t e n a b l e a n d i l l e g a l g ro u n d s . H en c e , t h e p e n a l t y a s su c h m a y b e d e l e t e d . ” 3 . Th e assessee h as raised an ad d itio n al g rou nd su bmitt in g th at p en alty is also n o t su sta in ab le in as mu ch as re lev ant li mb in th e p en alty n o ti ce was n o t mark ed . I.T.A. No.8994/Del/2019 2 4 . Brie f fac ts o f th e case l ead in g to th e lev y o f pen alty in th is case are a s u n d er. 4 .1 Du rin g th e y ear un d er con sid eratio n , th e Assessin g Offic er h as d isal lo wed th e su m o f Rs .3 ,9 2 ,8 9 ,8 5 6 /- b ein g interest p a id to b an k o n th e g ro und th at it is n o t fo r th e p u rpo se of assessee’s o wn b u sin ess. 5 . Ag ain st th e ab o v e o rd er o f th e Assessin g Officer, th e assesse e ap p ealed b efo re th e ld . CIT(A) wh o su stained th e ad d itio n . Th ereaft er, th e assesse e ap p ealed b efo re th e ITAT. Th e ITAT in its o rd er co n sid erab ly red u ced th e ad d itio n b y d irectin g as u n d er: “ 5 . 2 I n su c h c i rc u m s t a n c e s, i n o u r c o n s i d e r e d o p i n io n , t h e A s se s si n g O f f i c e r o u g h t t o h a v e r e st ri c t e d t h e c o m pu t a t i o n o f d i sa l l o wa n c e t o t h e e x t e n t o f R s. 2 . 7 2 c r o r e s b e i n g t h e d i f f e re n c e b e t w e e n t h e i n t e re s t f re e f u n d s a v a i l a b l e o f R s . 1 2 c r o r e s a n d i n v e st m e n t i n O CD s o f R s . 1 4 . 7 2 c r o re s. T h e A s s e s s i ng O f f i c e r i s a c c o rd i n g l y d i re c t e d t o r e - c o m p u t e t h e d i sa l l o wa n c e o f i n t e r e st o n t h e d i f f e re n t i a l a m o u n t o f 2 . 7 2 c ro r e s. ” 6 . Th e Assessin g Offi cer h as mad e a lev y o f p en al ty o n th e en tire amo u n t o f d isal lo wan ce o f R s.3 ,9 2 ,8 9 ,8 5 6 /-. Th e p en alty imp o sed was Rs.8 8 ,2 5 ,0 40 /-. Th e ld . CIT(A) g av e relie f to th e assesse e to th e ex ten t o f d ed u ctio n g ran ted by th e ITAT in the q u an tu m p ro ceed in g s b u t h e up h eld th e p en alty in p rin cip al . Th e co n clu d in g p art o f th e ld . CIT(A) o rd er read s as u nd er: “ 5 . 1 3 No w, c o m i n g o n t o G r o u n d N o . 2 o f t h e a p p e l l a nt , I f i n d m e ri t i n t h i s c o n t e n t i o n , s i n c e t h e H o n ’ b l e I T A T h as c l e a rl y d i re c t e d t h e d i s a l l o wa n c e o f i n t e r e st t o b e c o m p u t ed o n R s . 2 . 7 2 I.T.A. No.8994/Del/2019 3 c r o re s , wh i c h , a s p e r a p p e l l a n t ’ s su b m i s si o n , wo rk s o u t t o b e R s. 2 6 , 2 8 , 6 5 5 / - . T h e re f o r e , i n t h i s re g a r d s , t h e A s se s si n g O f f i c e r i s d i r e c t e d t o r e c o m p u t e d t h e a m o u n t o f a d d i t i o n c on s e q u e n t i a l t o t h e a d v a n c e s o f R s. 2 . 7 2 c r o re s , a s h a s b e e n u p h el d b y t h e H o n ’ b l e T r i b u n a l , a n d t o l e v y a p e n a l t y o n s u c h d i sa l l o wa n c e . ” 7 . Ag ain st th i s o rd er, th e asses see h as fil ed ap p eal b e fo re th e ITAT. 8 . We h av e h eard th e p arties an d p eru sed th e reco rds av ail ab le o n record . Up on carefu l co n sid erati o n , we n o te th at th e g ro und raised b y th e assessee is reg ard in g th e su sten an ce o f p en alty o f Rs.8 ,1 2 ,2 5 4 /- o u t o f th e p en a lty o f Rs.8 8 ,2 5 ,0 4 0 /-. As reg ard s th e ad d itio n al g ro u n d , th e assess ee h as ch all en g ed th at th e relev an t li mb o f th e n o tic e h as n o t b een marked to sp ecify th e c h arg e. We n o te th at th e asses see h as su b mi tt ed th e co p y o f said n o tice in th e p ap er b oo k . We note th a t in th e s aid n o tice i t is no t sp eci fi ed as to wh eth er th e p en alt y is to b e lev ied fo r co n cealmen t o f in co me o r fu rn ish in g o f in ac cu rate p arti cu lars o f in co me . Ho wever, th e ld . DR in th is reg ard p lead ed th at wh eth er relev an t l i mb in th e n o tice h as b een du ly mark ed or no t is a factu a l ma t ter. The refo re, th e issu e may b e remi t ted to th e fil e o f th e Assessin g Offi ce r to v erify an d act as p er law. We fin d co n sid erab le co g en cy in th e su b miss io n . Th e assesse e h as ap p ealed ag ain st th e pen alty o f Rs.8 ,1 2 ,2 5 4 /- wh ich rema in ed a ft er th e ITAT o rd er in q u an tu m p ro ceed in g s. Th e ad d itio n al g ro u n d raised b y th e assessee is a leg al issu e. Hen ce , we p ermi t th e a d d itio n al g ro u n d to b e raised an d as req u ested by th e ld . DR, we remit th e issu e to t h e fi le o f th e Assessin g Offi cer. Th e Assess in g Officer sh a ll fa ctu ally v eri fy wh eth er th e Asses sin g Officer h as s p eci fied th e relev an t li mb in I.T.A. No.8994/Del/2019 4 th e p en alty n o tic e o r n o t. In case th e relev an t li mb was n o t sp eci fi ed , th e p en a lty wi l l b e l iab le t o b e d ele ted. 9 . In th e resu lt, th e a p p eal filed b y th e assesse e stan d s al l o wed fo r st at is tic al p u rpo ses. Order pronounced in the open Court on 03/11/2022. Sd/- Sd/- [ANUBHAV SHARMA] [SHAMIM YAHYA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 03/11/2022 prabhat