ACIT CIRCLE, JALNA V. M/S. SUMAN CONSTRUCTION, PARBHANI

MA 83/PUN/2021

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 4509 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 1 month(s) 13 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 01-10-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 18-08-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT M.A. NO.83/PUN/2021 (ARISING OUT OF ITA NO.1889/PUN/2019) / ASSESSMENT YEAR : 2009-10 ACIT, JALNA CIRCLE, JALNE VS. M/S. SUMAN CONSTRUCTION, C/O. SHRI KISHOR NILKANT POTDAR, SWAPANKANSHA, VIDYANAGAR ROAD, PARBHANI 431401 PAN : AAIFS0286K (APPLICANT) (RESPONDENT) / ORDER PER R.S. SYAL, VP : THIS MISCELLANEOUS APPLICATION HAS BEEN MOVED BY THE REVENUE REQUESTING TO RECALL THE ORDER OF THE TRIBUNAL PASSE D ON 04.02.2020. AT THE VERY OUTSET, THE LD. DR SUBMITTED THAT THE TRIBUNAL DISMISSED THE APPEAL OF THE REVENUE ON ACCOUNT OF LOW TAX EFFECT. ALBEIT, THE LD. DR, WHILE ADMITTING THAT THE TAX EFFECT IN THE CAPTIONED APPEAL WHICH WAS DISMISSED BY THE TRIBUNAL WAS LESS THAN RS.50.00 LAKH, BUT THE ADDITION WAS BASED ON THE INFORMATION RECEIVED BY THE ASSESSING OFFICER FROM THE SALES TAX DEPARTMENT THAT THE ASSESSEE WAS ONE OF THE APPLICANT BY SHRI VITTHAL BHOSALE RESPONDENT BY SHRI J.P. SINGH DATE OF HEARING 01-10-2021 DATE OF PRONOUNCEMENT 01-10-2021 MA NO. 83/PUN/20201 M/S. SUMAN CONSTRUCTION 2 BENEFICIARIES INDULGING IN THE HAWALA TRANSACTIONS. IT WAS ER GO PRAYED THAT THE APPEAL FALLS UNDER EXCEPTION PRESCRIBED IN CLA USE (E) OF PARA 10 OF THE CBDT CIRCULAR NO. 03/2018 DATED 1 1-07- 2018 READ WITH ITS AMENDMENT DATED 20-08-2018 AND HENCE, THE TRIBUNAL ORDER DATED 04-02-2020 NEEDS TO BE RECALLED FOR ADJUDICATION OF THE APPEAL ON MERIT. 2. I HAVE HEARD BOTH THE SIDES AND SCANNED THROUGH T HE RELEVANT MATERIAL ON RECORD. HAVING FOUND THAT THE TAX EFFECT IN THE INSTANT APPEAL REFERRED TO BY THE REVENUE IS LESS THAN THE MONETARY LIMIT OF RS.50.00 LAKH, THE TRIBUNAL DISMISSED THE APPEAL OF REVENUE BY VIRTUE OF CBDT CIRCULAR NO.17/2019 DATED 08-08-2019 REVISING UPWARD THE MONETARY LIMIT TO RS.50.00 LAKH FOR FILING OF APPEALS BY THE DEPARTMENT IN INCOME-TAX CASES BEFORE VARIOUS APPELLATE FORUMS. 3. AS REGARDS THE CONTENTION OF THE LD. DR THAT THE APPE AL SHOULD NOT HAVE BEEN DISMISSED BECAUSE THE ADDITIONS IN THIS CASE WAS MADE ON THE BASIS OF INFORMATION RECEIVED FROM THE SALES TAX DEPARTMENT ABOUT THE ASSESSEE INDULGING IN HAWALA TRANSACTIONS AND HENCE COVERED IN THE EXCEPTION CLAUSE OF THE CIRCULAR AS REFERRED TO ABOVE, I FIND THAT SUCH A CONTENTION HAS NOT BEEN COUNTENANCED BY THE PUNE BENCHES OF THE TRIBUNA L IN SEVERAL CASES INCLUDING ITO VS. M/S PARAM MARKETING ( ITA MA NO. 83/PUN/20201 M/S. SUMAN CONSTRUCTION 3 NO.1872/PUN/2019 DT.30-01-2020 ) AND ITO VS. YUSUF GULMMOHMMED PATEL ( ITA NO.1852/PUN/2019 DT.30-01-2020 ). NOT ONLY THAT, EVEN THE MISCELLANEOUS APPLICATION FILED U/S 254(2) ON THIS ISSUE HAS ALSO BEEN DISMISSED IN DCIT VS. M /S RANG RASAYAN ( M.A.NO.60/PUN/2019 DT. 14-01-2020 ). NO CONTRARY VIEW HAS BEEN BROUGHT TO MY NOTICE ON BEHALF OF T HE REVENUE. RESPECTFULLY FOLLOWING THE ABOVE PRECEDENT, I AM N OT INCLINED TO ACCEPT THE MISCELLANEOUS APPLICATION FILED BY THE REVENUE. 4. IN THE RESULT, THE MISCELLANEOUS APPLICATION IS DISMISSE D. ORDER PRONOUNCED IN THE OPEN COURT ON 01 ST OCTOBER, 2021. SD/- (R.S.SYAL) VICE PRESIDENT PUNE; DATED : 01 ST OCTOBER, 2021 MA NO. 83/PUN/20201 M/S. SUMAN CONSTRUCTION 4 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-2, AURANGABAD 4. THE PR. CIT-2, AURANGABAD 5. , , SMC / DR SMC, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE DATE 1. DRAFT DICTATED ON 01-10-2021 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 01-10-2021 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER -- JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. -- JM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11. DATE OF DISPATCH OF ORDER. *