DCIT 4(2)(2), MUMBAI v. MID-CITY BHOOMI DEVELOPERS P.LTD, MUMBAI

ITA 1142/MUM/2015 | 2011-2012
Pronouncement Date: 19-10-2016 | Result: Dismissed

Appeal Details

RSA Number 114219914 RSA 2015
Assessee PAN AACCM6805E
Bench Mumbai
Appeal Number ITA 1142/MUM/2015
Duration Of Justice 1 year(s) 7 month(s) 23 day(s)
Appellant DCIT 4(2)(2), MUMBAI
Respondent MID-CITY BHOOMI DEVELOPERS P.LTD, MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 19-10-2016
Appeal Filed By Department
Order Result Dismissed
Bench Allotted B
Tribunal Order Date 19-10-2016
Assessment Year 2011-2012
Appeal Filed On 26-02-2015
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH B MUMBAI BEFORE SHRI G.S.PANNU ACCOUNTANT MEMBER AND SHRI AMARJIT SINGH JUDICIAL MEMBER ITA NO.1142/MUM/2015 (ASSESSMENT YEAR 2011-12) THE DCIT 4(2)(2) ROOM NO.642 6 TH FLOOR AAYKAR BHAVAN M.K.ROAD MUMBAI 400 020 ...... AP PELLANT VS. M/S. MID-CITY BHOOMI DEVELOPERS PVT. LTD. 4 TH FLOOR DHEERAJ PLAZA OPP. BANDRA POLICE STATION HILL ROAD BANDRA(W) MUMBAI 400 050 PAN: AACCM 6805E .... RESPONDENT APPELLANT BY : SHRI MANOJ KUMAR RESPONDENT BY : SHRI SANJEEV M. SH AH DATE OF HEARING : 13/10/2016 DATE OF PRONOUNCEMENT : 19/10/2016 ORDER PER G.S.PANNU A.M: THE CAPTIONED APPEAL FILED BY THE REVENUE PERTAIN ING TO ASSESSMENT YEAR 2011-12 IS DIRECTED AGAINST AN ORDER PASSED BY CIT(A)-9 MUMBAI DATED 30/12/2014 WHICH IN TURN ARISES OUT OF AN ORDER P ASSED BY THE ASSESSING OFFICER UNDER SECTION 143(3) OF THE INCOME TAX A CT 1961 (IN SHORT THE ACT) DATED 26/02/2014. 2 ITA NO.1142/MUM/2015 (ASSESSMENT YEAR 2011-12) 2. IN THIS APPEAL REVENUE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW THE LD. CIT(A) ERRED IN DELETING THE ADDITION ON ACCOUNT OF SALE O F FLATS WITHOUT APPRECIATING THE FACT THAT TRANSACTIONS IN IMMOVABLE PROPERTIES CANNOT BE AT LOWER VALUE THEN THAT DETERMINED BY THE STAMP DUTY AUTHORITIES. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW THE IMPUGNED ORDER OF THE LD. CIT(A) IS CONTRARY TO LAW CONSEQUENTLY MERITS TO BE SET ASIDE AND THAT OF THE ASSESSING OFFICER BE REST ORED. 3. IN BRIEF THE RELEVANT FACTS ARE THAT THE RESPON DENT ASSESSEE IS ENGAGED IN THE BUSINESS OF BUILDERS AND DEVELOPERS. IN THE COURSE OF ITS BUSINESS ACTIVITY ASSESSEE SOLD COMMERCIAL PROPERTIES AND T HE INCOME WAS OFFERED UNDER THE HEAD BUSINESS INCOME. THE ASSESSING OF FICER NOTICED THAT SOME OF FLATS SOLD WERE BELOW THE MARKET VALUE DETERMINED B Y THE STAMP DUTY AUTHORITIES AND THEREFORE HE INVOKED THE PROVISIO NS OF SECTION 50C OF THE ACT AND TREATED THE SALE CONSIDERATION OF SUCH FLATS AT MARKET VALUE WHICH LED TO AN ADDITION OF RS.2 85 56 832/- TO THE RETURNED INC OME. THE CIT(A) HAS DELETED THE ADDITION FOLLOWING THE DECISION OF THE TRIBUNAL IN THE ASSESSEES OWN CASE FOR ASSESSMENT YEAR 2008-09 IN ITA NO.5099/MUM/201 1 VIDE ORDER DATED 15/06/2012 WHEREIN IDENTICAL CONTROVERSY WAS DECID ED IN FAVOUR OF THE ASSESSEE. AGAINST SUCH A DECISION OF THE CIT(A) R EVENUE IS IN APPEAL BEFORE US. 4. BEFORE US THE LD. REPRESENTATIVE FOR THE RESPON DENT ASSESSEE POINTED OUT THAT THE DECISION OF THE TRIBUNAL FOR ASSESSMEN T YEAR 2008-09(SUPRA) CONTINUES TO HOLD THE FIELD AND HAS NOT BEEN ALTERE D BY ANY HIGHER AUTHORITY; AND THAT IN ASSESSMENT YEAR 2010-11 ALSO THE TRIB UNAL HAS TAKEN A SIMILAR VIEW IN ITA NO .6897/MUM/2013 DATED 23/04/2015 A C OPY OF WHICH HAS BEEN PLACED ON RECORD. 3 ITA NO.1142/MUM/2015 (ASSESSMENT YEAR 2011-12) 5. IN VIEW OF THE AFORESAID FACTUAL MATRIX WHICH HAS NOT BEEN DISPUTED BY THE REVENUE WE FIND NO REASON TO INTERFERE WITH TH E DECISION OF THE CIT(A) WHICH IS BASED ON THE ORDER OF THE TRIBUNAL IN ASSE SSEES OWN CASE ON AN IDENTICAL ISSUE. THUS THE DECISION OF THE CIT(A) IS AFFIRMED AND REVENUE FAILS IN ITS APPEAL. 6. IN THE RESULT APPEAL OF THE REVENUE IS DISMISS ED. ORDER PRONOUNCED IN THE OPEN COURT ON 19/10/2016 SD/- SD/- (AMARJIT SINGH) (G.S. PANNU) JUDICIAL MEMBER ACCOCUNTANT MEMBER MUMBAI DATED 19/10/2016 VM SR. PS 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