DCIT, New Delhi V. M/s. Dharampal Premchand Ltd., Delhi

MA 28/DEL/2020

AI Insights

The case involves the Revenue's miscellaneous application against the Tribunal's earlier decision to set aside the penalty levied on Dharampal Premchand Ltd. under section 271(1)(c) of the Income Tax Act. The original penalty was based on an alleged excess depreciation claim. The Tribunal had previously remanded the quantum appeal concerning this issue back to the Assessing Officer, leading to the current dispute. The Revenue contended that the matter had been resolved and the excess depreciation reaffirmed by the Assessing Officer, thus the Tribunal's earlier decision should be recalled. However, the Tribunal found no error in their previous judgment, leading to the dismissal of the Revenue's application.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 129937 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 7 month(s) 19 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 11-09-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 19-01-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 23-01-2021
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Depreciation
• Section: 271(1)(c); 153A; 254(2)

Judgement Text

MA.No.28/Del/2020 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “B” NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER MA No. 28/Del/2020 (In I.T.A No.6093/Del/2016) /Assessment Year: 2010-11 DCIT Central Circle-29, New Delhi. ब म Vs. Dharampal Premchand Ltd., 4873, Chandni Chowk, New Delhi. PAN No. AAACD1952B Appellant /Respondent Assessee by Shri G.N. Gupta, Advocate Revenue by Shri Anuj Garg, Sr. DR स ु नवाईक तारीख/ Date of hearing: 20.01.2023 उ ोषणाक तारीख/Pronouncement on 12.09.2023 आदेश /O R D E R PER C.N. PRASAD, J.M. Through this miscellaneous application the Revenue requested as under: - “2. In this regard, it is submitted that the Hon’ble ITAT vide its order dated 02.09.2019 in ITA No. 6093/Del/2016 has allowed the appeal of the assessee by holding that in the quantum appeal, the ITAT vide its order dated 30.11.2017 in ITA No. 259/Del/2015 remanded the matter to the AO for fresh adjudication in accordance with the law. 3. It is further submitted that in the quantum appeal, the addition relating to depreciation was remanded back MA.No.28/Del/2020 2 to the file of the AO. Consequently, an order u/s 254/153A of the IT Act dated 15.12.2018 was passed by the AO where the disallowance of Rs.31,96,23,143/- made by the then AO on account of excess depreciation vide his order u/s 153A dated 28.03.2013 was re-affirmed. 4. Therefore, the above fact has not been brought before the Hon’ble ITAT. The ITAT has erroneously held that the matter on the issue of excess disallowance on account of depreciation is pending with the AO whereas this issue has been decided and order has been passed by the AO as mentioned above. 5. In view of the above facts a miscellaneous application (MA) u/s 254(2) of the IT Act, 1961 is being filed before the Hon’ble ITAT against the order of the ITAT in this case with the request not to allow the appeal of the assessee in ITA No.6093/Del/2016 dated 02.09.2019. 6. In this regard, please find enclosed herewith copy of the order of the Ld. Pr. CIT(C)-3, New Delhi dated 21.01.2020 and ITAT order dated 02.09.2019 in ITA No.6093/Del/2016 (one in original) in triplicate in the above mentioned case.” 2. As could be seen from the miscellaneous application the Tribunal had restored the appeal of the assessee in ITA No.6093/Del/2016 by order dated 02.09.2019 filed against levy of penalty u/s 271(1)(c) of the Act since the quantum appeal of the assessee in ITA No.259/Del/2015 has been remanded back to the Assessing Officer by order dated 30.11.2017. The Revenue in the miscellaneous application contends that the set aside quantum assessment has been framed u/s 254/153A of the Act dated 15.12.2018 by the Assessing Officer, wherein the disallowance on account of excess depreciation was reaffirmed. Therefore, the MA.No.28/Del/2020 3 Revenue contends that the appeal of the assessee in ITA No.6093/Del/2016 dated 02.09.2019 be recalled. We see no substance in the miscellaneous application. There is no mistake apparent on record in the order passed by the Tribunal in ITA No. 6093/Del/2016 dated 02.09.2019 for the reason that the penalty proceedings have been set aside in view of the Tribunal setting aside the quantum proceedings to the AO for fresh adjudication. 3. In the result, the miscellaneous application is dismissed. Order pronounced in the open court on 12/09/2023 Sd/- Sd/- (SHAMIM YAHYA) (C.N. PRASAD) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 12.09.2023 *Kavita Arora, Sr. P.S. Copy of order sent to- Assessee/AO/Pr. CIT/ CIT (A)/ ITAT (DR)/Guard file of ITAT. By order Assistant Registrar, ITAT: Delhi Benches-Delhi