Shankarbhai Mavjibhai Patel, Valsad vs Department Of Income Tax

ITO Ward-4, Valsad, Vs Shri Shankarbhai Mavjibhai Patel, 75 Sona Nagar, Abrama, Valsad.

PAN: AEZPP 1067P (Appellant) (Respondent)

Revenue by : Shri Dinesh Singh, Sr.D.R. Assessee(s) by : Shri Deep R. Upadhyay, A.R.

सुनवाई क तार ख/ Date of Hea ring : 05 /02/201 5 घोषणा क तार ख /Date of P ronouncement: 20/02/2015

आदेश /O R D E R

PER: MUKUL KUMAR SHRAWAT, JUDICIAL MEMBER

This is an Appeal filed by the Revenue arising from the order of the learned CIT(A) Valsad, dated 31.05.2011. The grounds raised are as under:

"1. On the facts and circumstances of the case and in law the ld. CIT(A) has erred in deleting the addition made on account of disallowance of exemption u/s.10(10C) of the Act in respect of ex-gratia receipt of Rs.5,00,000/- without appreciating the facts of the case."

2. At the outset, learned AR appearing on behalf of the Assessee stated that the issue is covered in favour of the assessee with series of decisions of various Tribunal and also of ITAT, Ahmedabad pronounced in the case of ITO Vs. Shri Manharlal Namlabhai Patel bearing ITA No.1930/Ahd/2011 dated 08.08.2014, wherein it was held as under:

ITA No.1789/Ahd/2011 ITO Ward-4, Valsad Vs. Shri Shankarbhai Mavjibhai Patel For A.Y. 2008-09 -2-

4. We have considered rival submissions and perused the orders of the AO and the CIT(A), we find that the only issue in this appeal of the Revenue is regarding, exemption under section 10(10C) of the Act in respect of ex-gratia amount of Rs.5,00,000/- received by the assessee, as per the voluntary retirement scheme of the State Bank of India. The issue is covered in favour of the assessee with the decisions of the Tribunal including the decision in ITO Vs. Shri Nalin Natwarlal Shah, (supra) wherein held that the amount received on voluntary retirement as per exit option scheme of State Bank of India, was exempt income under section 10(10C) of the Act. The CIT(A) has followed the decision of the Hon'ble Supreme Court in Chandra Ranganathan & Ors. Vs. CIT, 326 ITR 49 (SC), and decided the issue in favour of the assessee.

Accordingly, the ground of the appeal of the Revenue, being without any merit is dismissed."

3. The learned Sr.D.R., Mr. Dinesh Singh could not controvert to the submissions of the learned AR for the assessee.

4. We have heard both the sides at some length. We have perused the orders of the authorities below. We find that the issue is regarding exemption u/s.10(10C) of the Act in respect of ex gratia amounting to Rs.5,00,000/- received by the assessee as per the voluntary retirement scheme of the State Bank of India. The issue is covered in favour of the assessee with the decisions of the Tribunal including the decision in ITO Vs. Shri Manharlal Namlabhai Patel, (supra) wherein held that the amount received on voluntary retirement as per exit option scheme of State Bank of India, was exempt income under section 10(10C) of the Act. Accordingly, the ground of appeal of the Revenue, being devoid of merit is dismissed.

5. In the result, the Appeal of the Revenue is dismissed.

Sd/- Sd/- (N.S. SAINI) (MUKUL Kr. SHRAWAT) ACCOUNTANT MEMBER JUDICIAL MEMBER Ahmedabad; Dated 20/02/2015 Prabhat Kr. Kesarwani, Sr. P.S. ITA No.1789/Ahd/2011

ITO Ward-4, Valsad Vs. Shri Shankarbhai Mavjibhai Patel For A.Y. 2008-09 -3-

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

1. अपीलाथ / The Appellant

2. यथ / The Respondent.

3. संबं धत आयकर आयु त / Concerned CIT

4. आयकर आयु त(अपील) / The CIT(A)-III, Ahmedabad

5. वभागीय त न ध, आयकर अपील य अ धकरण, अहमदाबाद / DR, ITAT, Ahmedabad

6. गाड फाईल / Guard file.

आदेशानुस ार / BY ORDER,

उप/सहायक पंजीकार (Dy./Asstt.Registrar) आयकर अपील य अ धकरण, अहमदाबाद / ITAT, Ahmedabad