Divyadatta Digamber Nagari Sah. Patsanstha Ltd, Satara V. Income-tax Officer, Ward - 3, Satara

MA 363/PUN/2022

AI Insights

The case involves Divyadatta Digamber Nagari Sah. Patsanstha Ltd., which filed a miscellaneous application under Section 254(2) of the Income Tax Act, 1961, seeking to recall the tribunal's order dated June 1, 2022, that dismissed its main appeal concerning the disallowance of a Section 80P deduction claim. The tribunal's initial dismissal was based on the interpretation of Section 80AC read with Section 80A(5) of the Act, following a decision by the Bombay High Court in M/s. EBR Enterprises vs. Union of India. However, upon review, it was found that the application of Section 80AC to the assessment year in question was incorrect, leading to the recall of the order and restoration of the appeal for re-examination.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137689 (ITAT-PUNE)
• Duration Of Justice: 5 month(s) 8 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 24-04-2023
• Appeal Filed By: Assessee
• Order Result: AllowedAllowed
• Bench Allotted: SMC
• Next Hearing Date: 20-04-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 15-11-2022
• Other Referred Cases: M/s. EBR Enterprises vs. Union of India [2019] 107 taxmann.com 220 (Bom.), ACIT vs. Saurashtra Kutch Stock Exchange Ltd., [2008] 305 ITR 227 (SC), CIT vs. Reliance Telecom Ltd., [2021] 133 taxmann.com 41 (SC)
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “SMC”, PUNE BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER M.A.No.363/PUN./2022 Arising out of ITA No.1306/PUN/2019 - Assessment Year: 2013-14 Divyadatta Digamber Nagari Sah. Patsanstha Ltd., Moti Heights, Azad Chowk, Koregaon, Satara- 415501. PAN : AAEAS1871L vs. ITO, Ward-3, Satara. Appellant Respondent आदेश / ORDER PER SATBEER SINGH GODARA, JM : This assessee’s miscellaneous applications filed u/s. 254(2) of the Income Tax Act, 1961 [in short “the Act”] seeks to recall this tribunal’s order dated 01.06.2022 dismissing it’s main appeal ITA.No.1306/PUN./2019. Heard both the parties. Case file perused. 2. It transpires during the course of hearing that the tribunal’s order in issue dated 01.06.2022 has rejected the assessee’s arguments thereby upholding the learned lower authorities’ action disallowing sec.80P deduction claim in light of sec.80AC read with sec.80A(5) of the Act thereby following Assessee by : Shri M. K. Kulkarni Revenue by : Shri M.G. Jasnani Date of hearing : 21.04.2023 Date of pronouncement : 25.04.2023 2 M.A.No.363/PUN./2022 hon’ble jurisdictional high court’s decision in M/s. EBR Enterprises vs. Union of India [2019] 107 taxmann.com 220 (Bom.). It is noticed in this factual backdrop after hearing both the learned representatives that sec.80AC(ii) of the Act prescribing the impugned deduction claim to be raised in sec.139(1) return under chapter-VI “C- deductions in respect of certain incomes” is applicable on or after 01.04.2018 only whereas the assessment year before us in issue is 01.03.2014. 3. Learned DR could also not dispute that the CIT(A)’s lower appellate discussion has rejected the assessee’s sec.154 rectification in very terms only. Faced with the situation, this tribunal deems it appropriate to recall its order suffering from an apparent mistake on record in light of ACIT vs. Saurashtra Kutch Stock Exchange Ltd., [2008] 305 ITR 227 (SC) and CIT vs. Reliance Telecom Ltd., [2021] 133 taxmann.com 41 (SC) and restores the assessee’s main appeal ITA.No.1306/PUN./2019 back to the CIT(A) for his fresh adjudication on merits as per law. 4. This assessee’s miscellaneous application is allowed and it’s main appeal ITA.No.1306/PUN./2019 is allowed for statistical purposes in above terms. Ordered accordingly. A copy of this common order be placed in the respective case files. 3 M.A.No.363/PUN./2022 Order pronounced in the open Court on this the 25 th day of April, 2023. Sd/- (SATBEER SINGH GODARA) JUDICIAL MEMBER Pune; Dated : 25 th April, 2023. VBP Copy of the Order forwarded to : 1. The Appellant. 2. The Respondent. 3. The CIT(A)-4, Pune. 4. The Pr. CIT-3, Pune. 5. DR, ITAT, “SMC” Bench, Pune. 6. Guard File. BY ORDER // True Copy // Senior Private Secretary ITAT, Pune.