SIDMARK SALES P. LTD, MUMBAI v. DCIT 10(2), MUMBAI

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI I BENCH BEFORE SHRI T.R.SOOD ACCOUNTANT MEMBER & SHRI VIJAY PAL RAO JUDICIAL MEMBER I.T.A.NO.1414/MUM/2010 A.Y 2004-05 SIDMARK SALES PVT. LTD. 5 ATUR HOUSE 87 DR. ANNE BESANT ROAD WORLI MUMBAI 400 018. PAN: AAACS 8831 N VS. DY. COMMISSIONER OF INCOME TAX 10(2) MUMBAI. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI SUBHODH RATANAPARKHI. RESPONDENT BY : SHRI SUMEET KUMAR. O R D E R PER T.R.SOOD AM: THROUGH THIS APPEAL ASSESSEE HAS CHALLENGED THE O RDER OF THE CIT[A] IN WHICH PENALTY LEVIED U/S.271[1][C] HAS BE EN CONFIRMED. 2. BEFORE US LD. COUNSEL OF THE ASSESSEE POINTED O UT THAT IN QUANTUM APPEAL THE MAIN ADDITION AMOUNTING TO ` `` ` .6 51 852/- HAS BEEN SET ASIDE TO THE FILE OF THE AO THEREFORE NOTHING SURVIVES FOR PENALTY. 3. ON THE OTHER HAND LD. DR RELIED ON THE ORDER OF THE CIT[A]. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS CAREFUL LY AND FIND THAT ADDITION ON ACCOUNT OF FOREIGN TRAVEL AMOUNTING TO ` `` ` .6 51 852/- WAS SET ASIDE TO THE FILE OF THE AO FOR RE-EXAMINATION IN THE ORDER PASSED BY THE TRIBUNAL IN I.T.A.NO.3536/MUM/2007 WHILE ADJ UDICATING THE QUANTUM APPEAL THEREFORE NOTHING SURVIVES FOR PEN ALTY AND ACCORDINGLY WE DELETE THE PENALTY. HOWEVER AO IS A T LIBERTY TO CONSIDER 2 LEVY OF PENALTY IF THE ADDITION IS AGAIN REPEATED A ND CIRCUMSTANCES WARRANT THE LEVY OF PENALTY. 5. IN THE RESULT ASSESSEES APPEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 11 TH DAY OF FEBRUARY 2011. SD/- SD/- (VIJAY PAL RAO) (T.R.SOOD) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI:11 TH FEBRUARY 2011. P/-*