Pravin Vrajlal Shah, Thane vs Assessee

1

आयकर अपील य अ धकरण, सी खंडपीठ मुंबई INCOME TAX APPELLATE TRIBUNAL,MUMBAI-C BENCH सव ी आई पी बंसल , या यक सद य एवं राजे , लेखा सद य Before S/Sh. I P Bansal,Judicial Member & Rajendra,Accountant Member आयकर अपील सं/.ITA No./686/Mum/2013, नधारण वष/Assessment Year-2005-06 Pravin Vrajlal Shah ITO HQ(CIB)Pune Kishorkunj Building No.4 C wing Block 1,Near Viva College, Vs Virar Thane PAN:AADPS8398A (अपीलाथ /Assessee) ( यथ / Respondent) नधा रती ओर से/Assessee by :None राज व क ओर से/ Revenue by :Shri Premanand J. सुनवाई क तार ख/ Date of Hearing :30- 04 -2015 घोषणा क तार ख / Date of Pronouncement :30-04-2015 आयकर अ ध नयम,1961 क धारा 254(1)के अ तगत आदे श Order u/s.254(1)of the Inco me-tax Act,1961(Act) लेखा सद य राजे के अनुसार PER RAJENDRA, AM- Challenging the order dt.31/10/2012 of the CIT(A)-II,Thane,the assessee has raised the following Grounds of Appeal:

"1.On the facts and in the circumstances of the case, the Ld. CIT(A) erred in levying penalty u/s. 271(1)(c) at Rs.6,29,554/-

2.The Ld. CIT(A) erred in not appreciating that Hon'ble Tribunal has set aside the quantum appeal vide its Order dated 18' February, 2011.

3.The Appellant craves leave to add, to amend, alter or vary the Grounds of Appear either bef ore or at the time of hearing of the Appeal".

Brief Facts:

Assessee is an individual.As per the information received from the transactions reported in Annual Information Return the assessee had made deposit in cash,in a saving bank account, aggregating to Rs.19.57 lacs during the year under appeal. On the basis of said information,the Assessing Officer(AO)issued a notice u/s.142(2) of the Act to the assessee calling for return of income.As per the AO,the assessee did not file his return of income or the details called for. He completed the assessment u/s.144 of the Act on 26/12/2007,treating the cash deposit in bank account as unexplained, amounting to Rs.19.57 lacs.The AO also initiated penalty proceeding u/s. 271(1)(c) of the Act for concealing the particulars of the income. In the appellate proceeding First Appellate Authority(FAA)dismissed the appeal .In the meanwhile,the AO levied penalty of Rs.6.29 lacs,vide his order dt.30.3.2009 u/s. 271(1)(c) of the Act,for concealing the particulars of income.The FAA confirmed the penalty order as the assessee did not appear before him.

2 2.Before us,Authorised Representative (AR) stated that theTribunal, vide its order dt.18.02.2011 had set aside the order of the FAA,that the penalty confirmed by the FAA should be deleted. Departmental Representative(DR) left the issue to the discretion of the Bench.

4.After considering the facts of the case,we are of the opinion that penalty would not survive as the quantum order has been set aside by the Tribunal.Effective ground of appeal is decided in favour of the assessee.

As a result,appeal filed by the assessee stands allowed. फलतः नधा रती वारा दा खल क गई अपील मंजरू क जाती है. Order pronounced in the open court on 30th ,April,2015.

आदे श क घोषणा खल ु े यायालय म दनांक 30 अ ल ै ,2015 को क गई । Sd/- Sd/- (आई पी बंसल/I P Bansal) (राजे / RAJENDRA) या यक सद य / JUDICIAL MEMBER लेखा सद य / ACCOUNTANT MEMBER मंब ु ई/Mumbai, दनांक/Date:30.04.2015 Jv

आदे श क त ल प अ े षत/Copy of the Order forwarded to :

1.Appellant /अपीलाथ 2. Respondent / यथ

3.The concerned CIT(A)/संब ध अपील य आयकर आयु त, 4.The concerned CIT /संब ध आयकर आयु त

5.DR "C" Bench, ITAT, Mumbai / वभागीय त न ध, सी खंडपीठ,आ.अ. याया.मंब ु ई

6.Guard File/गाड फाईल स या पत त //True Copy// आदे शानस ु ार/ BY ORDER, उप/सहायक पंजीकार Dy./Asst. Registrar आयकर अपील य अ धकरण, मुंबई /ITAT, Mumbai.