DY. COMMISSIONER OF INCOME TAX 19(3) , MUMBAI V. RAJENDRA RAMESHCHANDRA CHATURVEDI, MUMBAI

ITA 927/MUM/2023

AI Insights

The case involves an appeal by the Revenue against the order of the CIT(A) which deleted a substantial penalty imposed on Shri Rajendra Rameshchandra Chaturvedi for the Assessment Year 2013-14. The penalty was originally levied following additions made under sections 68 and 69C of the Income Tax Act, which were later annulled by the Tribunal in a previous order. The Revenue challenged the CIT(A)'s decision, arguing that the appeal against the ITAT's order was pending before the Bombay High Court, and thus the penalty should not have been deleted. However, the Tribunal found that the deletion of the quantum additions rendered the penalty untenable, leading to the dismissal of the Revenue's appeal.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 302362 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-06-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 07-06-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 23-03-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, ‘D‘ BENCH MUMBAI BEFORE: SHRI AMIT SHUKLA, JUDICIAL MEMBER & SHRI GAGAN GOYAL, ACCOUNTANT MEMBER ITA No.927/Mum/2023 (Assessment Year :2013-14) Dy. Commissioner of Income Tax-19(3) Mumbai Matru Mandir Room No.206, Grant Road Mumbai-400 007 Vs. Shri Rajendra Rameshchandra Chaturvedi 4 th Floor, Shreepati Arcade Premises No.1 & 2 August Kranti Marg Nana Chowk Mumbai-400 036 PAN/GIR No.ACZPC5041Q (Appellant) .. (Respondent) Assessee by Shri Suchek Anchaliya Revenue by Smt. Riddhi Mishra Date of Hearing 08/06/2023 Date of Pronouncement 28/06/2023 आदेश / O R D E R PER AMIT SHUKLA (J.M): The aforesaid appeal has been filed by the Revenue against the order dated 06/02/2023 passed by NFAC, Delhi in relation to the penalty proceedings u/s. 271 (1) (C) for the A.Y.2013-14. 2. The Revenue is aggrieved by the deletion of penalty of Rs.13,46,06,137/-. The grounds raised by the Revenue are as under:- ITA No.927/Mum/2023 Shri Rajendra Rameshchandra Chaturvedi 2 “1. Whether Ld CIT(A) is correct in deleting the penalty levied by the Assessing Officer ws 271(1)(c) of the Act stating that the appeal against the assessment order before the ITAT is quashed 2 The Ld. CIT(A) has erred in deleting the penalty levied by the Assessing Officer u/s 271(1)(c) of the Act instead of observing the fact that the department had challenged the Hon'ble ITAT Order before the Hon’ble Bombay High Court.” 3. From the perusal of the grounds and from the order of the Ld. CIT (A) it is clear that, the penalty which has been levied by the AO on addition of Rs. 41,48,39,241/- made u/s.68; and addition of Rs. 2,07,41,962/- u/s.69C, the Tribunal has deleted both the additions vide order dated 23/12/2020 in ITA No.7124 & 7581/Mum/2019. Once the quantum has been deleted, then penalty u/s 271(1)(c) has no legs to stand. Otherwise also, this matter is pending before the Hon’ble High Court in the quantum proceedings, but at this stage, no penalty is leviable. Accordingly, the appeal of the Revenue is dismissed. 4. In the result, appeal of the Revenue is dismissed. Order pronounced on 28 th June, 2023. Sd/- (GAGAN GOYAL) Sd/- (AMIT SHUKLA) ACCOUNTANT MEMBER JUDICIAL MEMBER Mumbai; Dated 28/06/2023 KARUNA, sr.ps ITA No.927/Mum/2023 Shri Rajendra Rameshchandra Chaturvedi 3 Copy of the Order forwarded to : BY ORDER, (Asstt. Registrar) ITAT, Mumbai 1. The Appellant 2. The Respondent. 3. CIT 4. DR, ITAT, Mumbai 5. Guard file. //True Copy//