RAJ KUMAR AGARWAL HUF,KOLKATA V. ACIT, CIRCLE - 37, KOLKATA, KOLKATA

ITA 1149/KOL/2024

AI Insights

The case involves Raj Kumar Agarwal HUF, the appellant, contesting a penalty order under section 271(1)(c) of the Income Tax Act, 1961, for the assessment year 2013-14. The penalty was initially levied by the Assistant Commissioner of Income Tax and was upheld by the Commissioner of Income Tax (Appeals). The appellant raised several grounds challenging the penalty, including the claim that the additional income was disclosed voluntarily and that all relevant facts were disclosed during the computation of total income. However, the appellant later opted for the Vivad Se Vishwas, 2024 scheme, leading to the withdrawal of the appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 473975 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-01-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SAILEN SAMADDER
• Assessee Lawyers: S.S. GUPTA
• Section: 148; 250; 271(1)(c); 10

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH KOLKATA BEFORE SHRI PRADIP KUMAR CHOUBEY, JUDICIAL MEMBER AND SHRI RAKESH MISHRA, ACCOUNTANT MEMBER ITA No. 1149/KOL/2024 Assessment Year: 2013-14 Raj Kumar Agarwal HUF 15, Ganagdhar Babu Lane, Eden House, Bow Bazar, Kolkata – 700012, West Bengal Vs Asst. CIT, Circle 37, Kolkata, 3, Govt. Place, Kolkata – 700001, West Bengal (Appellant) (Respondent) PAN: AAHHR3501E Present for: Appellant by : Shri S. S. Gupta, FCA Respondent by : Shri Sailen Samadder, Addl. CIT, Sr. D.R. Date of Hearing : 24.12.2024 Date of Pronouncement : 01.01.2025 O R D E R PER RAKESH MISHRA, ACCOUNTANT MEMBER: This appeal filed by the assessee is against the order of the Ld. Commissioner of Income Tax (Appeals), NFAC, New Delhi (hereinafter referred to as “the Ld. CIT (A)”) passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for AY 2013-14 dated 09.05.2024, which has been passed against the penalty order u/s 271(1)(c) of the Act, dated 12.08.2022. 2. The assessee has raised the following Grounds of appeal: 1. That the Ld. Asst. CIT erred in law as well as in facts in passing the order appealed against in as much as in view of the facts and circumstances of the case, no such order was at all liable to be passed and the Ld. CIT(A) erred in confirming the same. Page | 2 ITA No.1149/KOL/2024 Raj Kumar Agarwal HUF; A.Y. 2013-14 2. That the Ld. Asst. CIT erred in law as well as in facts in levying a penalty u/s 271(1)(c) of the Income Tax Act, 1961, for a sum of Rs. 14,48,660/- and the Ld. CIT(A) erred in confirming the same in as much as in view of the facts and circumstances of the case no such penalty was at all liable to be levied. 3. That no penalty u/s 271(1)(c) was liable to be levied in as much as the appellant assessee had offered an explanation which was material to Computation of Total Income and had also substantiated and proved that the explanation is bonafide and all facts relating to the same and material to the Computation of Total Income were disclosed by the appellant assessee. 4. That the additional income offered in the Return of Income filed u/s 148 was disclosed voluntarily as the said disclosure having been made even before the reasons were furnished to the assessee and in such circumstances, no penalty u/s 271(1)(c) is liable to be levied. 5. That the appellant craves leave to add, alter, change and/or modify any of the grounds of appeal at or before hearing of the appeal and claim further relief or reliefs which is necessary for the ends of justice. 3. At the outset, it was informed by the Ld. AR that the assessee has availed the Vivad se Vishwas, 2024 scheme. Since the assessee has opted for the Vivad Se Vishwas Scheme, hence the present appeal was requested to be withdrawn. The Ld. DR did not object to the withdrawal of the appeal. 4. As per S. No. 10 of the Guidance Note 1/2024 on provisions of the Direct Tax Vivad se Vishwas Scheme, 2024 dated 15th October, 2024, it is mentioned that as per section 91 (2) of the Scheme, after filing of declaration, appeals before ITAT/CIT(A)/ JCIT(A) are deemed to be withdrawn from the date of issue of certificate by the Designated Authority. Further as per section 91(3) of the Scheme, the taxpayer is required to withdraw appeals and furnish proof thereof along with intimation of payment u/s 92(2) of the Scheme. Since the assessee has requested for withdrawal of the appeal, he is permitted to withdraw the same and the appeal is dismissed as withdrawn. However, if the subsequent facts warrant that the appeal Page | 3 ITA No.1149/KOL/2024 Raj Kumar Agarwal HUF; A.Y. 2013-14 should be heard on merits, the assessee shall be at liberty to file a Miscellaneous Application for restoration of the appeal. 5. In the result, the appeal of the assessee is dismissed as withdrawn. Order pronounced in the Court on 1st January, 2025 at Kolkata. Sd/- Sd/- (PRADIP KUMAR CHOUBEY) (RAKESH MISHRA) JUDICIAL MEMBER ACCOUNTANT MEMBER Kolkata, Dated 01.01.2025 *SS, Sr.Ps Page | 4 ITA No.1149/KOL/2024 Raj Kumar Agarwal HUF; A.Y. 2013-14 आदेश की प्रतितिति अग्रेतिि/Copy of the Order forwarded to : 1. अिीिार्थी / The Appellant 2. प्रत्यर्थी / The Respondent 3. संबंतिि आयकर आयुक्त / Concerned Pr. CIT 4. आयकर आयुक्त ( अिीि ) / The CIT(A)- 5. तिभागीय प्रतितिति , अतिकरण अिीिीय आयकर , कोिकािा/DR,ITAT, Kolkata, 6. गार्ड फाईि / Guard file. आदेशािुसार/ BY ORDER, TRUE COPY Sr. PS/ Assistant Registrar आयकर अिीिीय अतिकरण ITAT, Kolkata Sr. No. Particulars Date Initials Person concerned 1 Drafted on 18.11.2024 Sr.PS 2 Draft placed before author Sr.PS 3 Draft proposed & placed before the second Member AM 4 Draft discussed/approved by Second Member AM 5 Approved Draft comes to the Sr.PS/PS Sr.PS 6 Kept for pronouncement on Sr.PS 7 File sent to the Bench Clerk Sr.PS 8 Date on which file goes to the Head Clerk 9 Date of dispatch of Order 10 Dictation Sheet is attached herewith No "