Telecommunications Consultants India Ltd., New Delhi V. DCIT, Circle-16(1), New Delhi

ITA 9129/DEL/2019

AI Insights

The case involves Telecommunications Consultants India Ltd (the assessee) appealing against the order of the CIT(A) which upheld the levy of penalty under section 271(1)(c) of the Income-tax Act, 1961 for the Assessment Year 2009-10. The primary contention of the assessee was that the disputed tax, which led to the penalty, had been settled under the Direct Taxes Vivad se Vishwas Act, 2020. The Tribunal considered the Form 5 submitted by the assessee, which indicated that the disputed tax demand amounting to Rs. 4,79,07,132 for the said assessment year had been settled. Consequently, the Tribunal restored the issue to the Assessing Officer to verify the settlement and to allow immunity from the penalty if the settlement was found to be in order.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 301020 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 3 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-03-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 15-03-2023
• Assessment Year: 2009-2010
• Appeal Filed On: 25-11-2019
• Laws Referred To: Income-tax Act, 1961, Direct Taxes Vivad se Vishwas Act, 2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 6; 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI ‘H’ BENCH, NEW DELHI BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER, AND SHRI ANUBHAV SHARMA, JUDICIAL MEMBER ITA No. 9129/DEL/2019 [A.Y. 2009-10] Telecommunications Consultants India Ltd Vs. The Dy. C.I.T TCIL Bhawan, Greater Kailash - I Circle 16(1) New Delhi New Delhi PAN: AAACT 0061 H (Applicant) (Respondent) Assessee By : Shri Suyash Sinha, Adv Department By : Ms. Sapna Bhatia, CIT-DR Date of Hearing : 16.03.2023 Date of Pronouncement : 16.03.2023 ORDER PER N.K. BILLAIYA, ACCOUNTANT MEMBER:- This appeal by the assessee is preferred against the order of the ld. CIT(A) dated 06.09.2019 pertaining to Assessment Year 2009-10. 2 2. The solitary grievance of the assessee is that the ld. CIT(A) erred in upholding the levy of penalty u/s 271(1)(c) of the Income-tax Act, 1961 [the Act, for short]. 3. At the very outset, the ld. counsel for the assessee drew our attention to the order in Form 5 for full and final settlement of tax arrears u/s 5 r.w.s 6 of the Direct Taxes Vivad se Vishwas Act, 2020 and pointed out that the disputed tax arisen as a result of additions made in the impugned A.Y. has been settled under that Act. Therefore, the assessee is eligible for immunity from penal provisions of section 271(1)(c) of the Act. 4. We have carefully perused Form 5 placed on record. We find that the disputed tax demand for A.Y 2009-2010 in ITA No. 2492/DEL/2013 amounting to Rs. 4,79,07,132/- has been settled. We, therefore, restore this issue to the file of the Assessing Officer. The Assessing Officer is directed to verify whether the entire demand has been settled in respect of the quantum addition which is cause for levy of the impugned penalty in the impugned appeal and if found correct, allow immunity from levy of penalty as per relevant provisions of the 3 Vivad se Vishwas Act, 2020. With these directions, the appeal of the assessee is allowed. 5. In the result, the appeal of the assessee in ITA No. 9129/DEL/2019 is allowed. The order is pronounced in the open court on 16.03.2023. Sd/- Sd/- [ANUBHAV SHARMA] [N.K. BILLAIYA] JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 16 th March, 2023. VL/ Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi 4 Date of dictation Date on which the typed draft is placed before the dictating Member Date on which the typed draft is placed before the Other Member Date on which the approved draft comes to the Sr.PS/PS Date on which the fair order is placed before the Dictating Member for pronouncement Date on which the fair order comes back to the Sr.PS/PS Date on which the final order is uploaded on the website of ITAT Date on which the file goes to the Bench Clerk Date on which the file goes to the Head Clerk The date on which the file goes to the Assistant Registrar for signature on the order Date of dispatch of the Order