ITO 28(3)(1), Mumbai V. SMT. VAISHNAVI A GAIKWAD, Mumbai

MA 95/MUM/2021

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 7918 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 30-06-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2010-2011
• Appeal Filed On: 30-03-2021
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: LD REPRESENTATIVE OF PARTIES; PERUSED REC
• Keywords: Bogus purchase; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL F BENCH, MUMBAI BEFORE S/SHRI PRAMOD KUMAR , VICE PRESIDENT AND S/SHRI AMARJIT SINGH, JUDICIAL MEMBER M.A. N O . 95 / M UM /20 21 (ARISING OUT OF ITA NO. 90 /MUM/201 9 ) ( / ASSESSMENT YEAR: 2010 - 11 ) ITO WARD - 28(3)(1) ROOM NO.316, 3 RD FLOOR TOWER NO. 6, VASHI RAILWAY STATION COMPLEX, VASHI - 400703 . / VS. SMT. VAISHNAVI A. GAIKWAD 901/33, SEA WOODS ESTATE, PALM BEACH ROAD, SECTOR - 54, NERUL, NAVI MUMBAI - 400706 . / . / . PAN/GIR NO. : ALFPG9497B ( / APPELLANT ) / APPLICANT .. ( / RESPONDENT ) / DATE OF HEARING: 18 / 0 6 /2 0 21 /DATE OF PRONOUNCEMENT: 30 /06 / 2021 ORDER PER AMARJIT SINGH, J M THIS ORDER SHALL DISPOSE OF THE MISCELLA N EOUS APPLICATION BEARING NO. 95 /M UM/2021 MOVED BY REVENUE ARISING OUT OF ITA. NO. 90 /M UM /1 9 FOR THE A.Y.20 10 - 1 1 DECIDED ON DATED 06 . 0 2 .20 20 . 2 . WE HAVE HEARD THE ARGUMENT ADVANCED BY THE LD. REPRESENTATIVE OF THE PARTIES AND PERUSED THE RECORD. ITA. NO.90/MUM/2019 DATED 06.02.2020 WAS DISMISSED ON ACCOUNT OF TAX EFFECT IN VIEW OF THE CBDT CIRCULAR NO.3/2018 DATED 11.07.2018 AND CIRCULAR NO. 17 / 2019 DATED 08.08.2019. THE LD. REPRESENTATIVE OF THE REVENUE HAS ARGUED THAT THE PENALTY WAS IMPOSED AGAINST ASSESSEE IN THE CASE WHERE THE ASSESSMENT WAS COMPLETED ON ACCOUNT OF EXTERNAL INFORMATION I.E. INFORMATION FROM THE MAHARASHTRA SALES TAX DEPARTMENT WHICH COMES UNDER THE EXCEPTION OF THE CIRCULAR I.E. PARA NO. 10 AND SUBSEQUENT CLAUSE (E) OF THE CIRCULAR 17/2019 DATED 08.08.2019 . THE PENALTY WAS IMPOSED ON ACCOUNT OF ADDITION @ 12.5% OF THE BOGUS PURCHASES TO THE TUNE OF RS. 18,72,000/ - , IN THE INSTANT CASE, THERE IS NO EXTERNAL INFORMATION AND PENALTY IMPOSED ON ACCOUNT OF ADDITION RAISED UPON THE BOGUS PURCHASES ON THE BASIS REVENUE BY: SHRI VIJAY KUMAR SUBRAMANYAM ( D R) ASSESSEE BY: MISS. RADHA HALBE (AR) MA . NO. 95 / MUM/2021 A.Y.2010 - 11 OF ESTIMA TION . BOTH ARE THE SEPARATE PROCEEDING WHICH IS NOT REQUIRED TO BE LINKED. THE PENALTY IS NOT LIABLE TO BE SUSTAINABLE WHERE THE ADDITION WAS RAISED ON THE BASIS OF ESTIMATION. MOREOVER IN THE INSTANT CASE WHERE, THERE IS NO EXTERNAL INFORMATION, NO PENALT Y IS LIABLE TO BE SUSTAINABLE WHICH NOWHERE COMES WITHIN THE EXCEPTION OF PARA 10 AND OF CIRCULAR NO.3/2018 DATED 11.07.2018 AND CLAUSE (E) OF THE SUBSEQUENT CIRCULAR. ACCORDINGLY, W E DISMISSED THE PRESENT M ISCELLANEOUS APPLICATION . ORDER WAS PRON OUNCED IN TH E OPEN COURT ON 30 / 06/ 20 21 SD/ - SD/ - ( PRAMOD KUMAR ) (AMARJIT SINGH) / VICE PRESIDENT /JUDICIAL MEMBER MUMBAI; DATED : 30 / 06 /202 1 VIJAY PAL SINGH ( SR. P.S. ) / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 4. / CIT 5. , , / DR, ITAT, MUMBAI 6. / GUARD FILE. / BY ORDER, //TRUE COPY// / /(DY./ASSTT.REGISTRAR) , / ITAT, MUMBAI