The DCIT(OSD), Range-1., Ahmedabad V. Dharnendra Overseas Ltd., Ahmedabad

ITSSA 181/AHD/2015

• Counselvise Citation: [2018] 122 COUNSELVISE.COM (IT) 3705 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 9 month(s) 22 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 04-04-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 12-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI S. S. GODARA, JUDICIAL MEMBER) IT(SS)A. NO: 181/AHD/2015 (ASSESSMENT YEAR: 1996-97) DCIT (OSD) RANGE-1, AHMEDABAD V/S M/S. DHARMENDRA OVERSEAS LTD. CHAKRAVARTHY COMPLEX, VIJAY CHAR RASTA, AHMEDABAD-380009 (APPELLANT) (RESPONDENT) PAN: AAACD4127G APPELLANT BY : SHRI MUDIT NAGPAL, SR. D. R. RESPONDENT BY : NONE ( )/ ORDER DATE OF HEARING : 03 -04-201 8 DATE OF PRONOUNCEMENT : 04-04-2018 PER N.K. BILLAIYA, ACCOUNTANT MEMBER: 1. THIS APPEAL BY THE REVENUE IS PREFERRED AGAINST THE ORDER OF THE LD. CIT(A)-1, AHMEDABAD DATED 24.03.2015 PERTAINING TO A.Y. 1996- 97. IT(SS)A NO. 181/AHD/2015 . A.Y. 1996-97 2 2. THE SUBSTANTIVE GRIEVANCE OF THE REVENUE READS AS U NDER:- 1. THE CIT(A) HAS ERRED IN DIRECTING THE AO TO CORRECT THE COMPUTATION BY TAKING THE RATE OF TAX AT 40% INSTEAD OF 60% APPLICABLE FOR TH E BLOCK PERIOD UNDER CONSIDERATION. 3. A PERUSAL OF THE ORDER OF THE LD. CIT(A) SHOWS THAT IT HAS BEEN FRAMED U/S. 154 OF THE ACT. IN THE ASSESSMENT ORDER, THE A.O. HAS A DOPTED THE CHARGE OF TAX @ 60% AND THE ASSESSEE POINTED OUT THAT THE APPLICABL E RATE OF TAX IS 40%. ON THE BASIS OF THE COMPUTATION SUBMITTED BY THE A.O., THE FIRST APPELLATE AUTHORITY FOUND THAT INADVERTENTLY THE RATE OF TAX HAS BEEN T AKEN AT 60% IN PLACE OF 40%. SINCE THE MISTAKE WAS APPARENT FROM RECORD, THE FIR ST APPELLATE AUTHORITY FRAMED THE ORDER U/S. 154 OF THE ACT AND RECTIFIED THE MISTAKE. THE RELEVANT FINDINGS OF THE LD. CIT(A) IS AS UNDER:- (II) GROUND NO. 2 IS AGAINST CHARGE OF TAX AT THE R ATE OF 60% AT THE PLACE OF 40% AND SURCHARGE THEREON. I AM INCLINED WITH APPELLANT THAT AS PER NORMAL RATE APPLICABLE FOR THIS YEAR AND ALSO AS PER COMPUTATIO N NOW SUBMITTED BY A.O., THERE IS MISTAKE APPARENT FROM RECORD I.E. IN THE N OTICE FOR DEMAND U/S. 156 OF THE ACT WHERE SUCH TAX IS COMPUTED AT THE RATE OF 6 0% AND CONSEQUENTIALLY SURCHARGE AT THE RATE OF 15% IS ALSO HIGHER. THE A. O. IS DIRECTED TO CORRECT THE SAME AS GIVEN BY HIM IN COMPUTATION WHERE TAX AT TH E RATE OF 40% WORKED OUT AT RS. 3754558 WHILE SURCHARGE AT 15% WORKED OUT AT RS . 563184. IT IS THEREFORE APPELLANT GETS RELIEF ACCORDINGLY. THIS GROUND IS A LLOWED. 4. BEFORE US, THE LD. D.R. FAIRLY CONCEDED THAT THE MI STAKE WAS APPARENT FROM RECORD AND IT HAS BEEN RIGHTLY RECTIFIED BY THE FIR ST APPELLATE AUTHORITY. IT(SS)A NO. 181/AHD/2015 . A.Y. 1996-97 3 5. CONSIDERING THE FINDINGS OF THE LD. CIT(A) IN THE L IGHT OF THE RELEVANT PROVISIONS OF THE ACT, WE DO NOT FIND ANY ERROR OR INFIRMITY IN THE FINDINGS OF THE LD. CIT(A). APPEAL FILED BY THE REVENUE IS ACCO RDINGLY DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 04 - 04- 20 18 SD/- SD/- (S. S. GODARA) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY ACCOUNTANT MEMBER AHMEDABAD: DATED 04/04/2018 RAJESH COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHME DABAD