Shri Kalpesh Hasmukhlal Shah, Ahmedabad v. The Income tax Officer,Ward-14(4),, Ahmedabad

ITA 3001/AHD/2009 | 2006-2007
Pronouncement Date: 08-01-2010 | Result: Allowed

Appeal Details

RSA Number 300120514 RSA 2009
Assessee PAN AIIPS1821R
Bench Ahmedabad
Appeal Number ITA 3001/AHD/2009
Duration Of Justice 1 month(s) 29 day(s)
Appellant Shri Kalpesh Hasmukhlal Shah, Ahmedabad
Respondent The Income tax Officer,Ward-14(4),, Ahmedabad
Appeal Type Income Tax Appeal
Pronouncement Date 08-01-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted D
Tribunal Order Date 08-01-2010
Assessment Year 2006-2007
Appeal Filed On 09-11-2009
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD - AHMEDABAD D BENCH (BEFORE DR.O.K. NARAYANAN VICE-PRESIDENT AND SHRI MAHAVIR SINGH JUDICIAL MEMBER) ITA NO.3001/AHD/2009 [ASSTT.YEAR : 2006-2007] SHRI KALPESH HASMUKHLAL SHAH 5 SHAKUNTAL FLATS OPP. GURUKUL MEMNAGAR AHMEDABAD GUJARAT. VS. INCOME TAX OFFICER WARD 14(4) ASHRAM ROAD AHMEDABAD GUJARAT. PAN: AIIPS 1821 R ASSESSEE BY : SHRI. TUSHAR P. HEMANI REVENUE BY : SHRI C.K.MISHRA DATE OF ORDER RESERVED: 07-01-2010 O R D E R PER DR. O.K. NARAYANAN VICE-PRESIDENT : THIS APPEAL IS FILED BY THE ASSESSEE. THE RELEVANT ASSESSMENT YEA R IS 2006-2007. THE APPEAL IS DIRECTED AGAINST THE ORDER OF THE CIT(A)- XXI AT AHMEDABAD DATED 8-9-2009 AND ARISES OUT OF THE PENALTY ORDER PASSED UNDER SECTION 271(1)(C). 2. THE ASSESSEE IS A SALARIED EMPLOYEE AND ALSO EAR NING COMMISSION INCOME AND FURTHER INVESTING IN SHARES. HE FILED H IS RETURN OF INCOME OF RS.1 60 060/- FOR THE IMPUGNED ASSESSMENT ORDER 200 6-2007. IT WAS HOWEVER NOTICED THAT SHORT TERM CAPITAL GAINS AMOUN TING TO RS. 91 104/- WAS NOT INCLUDED BY THE ASSESSEE IN THE TOTAL INCOM E. THE ASSESSMENT WAS COMPLETED AFTER CONSIDERING THE SAID AMOUNT ALSO. A PENALTY OF RS.9 100/- WAS LEVIED ON THE ASSESSEE FOR THE ABOVE REASON. IN FIRST APPEAL THE CIT(A) FOUND THAT THE ASSESSEE HAS COMM ITTED A DEFAULT UNDER PAGE - 2 ITA NO.3001/AHD/2009 -2- SECTION 274 READ WITH 271(1)(C) WITHOUT A REASONABL E CAUSE AND ACCORDINGLY CONFIRMED THE PENALTY. THE ASSESSEE IS AGGRIEVED AND THEREFORE THE SECOND APPEAL BEFORE US. THE ASSESSE E IT IS EXPLAINED THAT HAD A BONA-FIDE BELIEF THAT SURPLUS ON SALES OF SHA RES WERE NOT EXIGIBLE TO INCOME TAX. THEREFORE SHORT TERM CAPITAL GAINS AR ISING OUT OF THE SALE OF SHARES WERE NOT INCLUDED IN HIS TAXABLE INCOME. BU T FOR THIS TECHNICALITY OF NOT INCLUDING CAPITAL GAINS IN THE COMPUTATION O F TOTAL OF INCOME THE ASSESSEE HAS OTHERWISE DISCLOSED THESE MATTERS BEFO RE THE ASSESSING AUTHORITY ALONGWITH THE RETURN OF INCOME FILED AND THERE WAS NO ATTEMPT OF CONCEALMENT. IT IS ALSO NOT POSSIBLE TO HOLD THA T THE ASSESSEE HAD FURNISHED INACCURATE PARTICULARS OF INCOME. IN FAC T IT IS A CASE OF WRONG COMPUTATION OF INCOME AND NOT A CASE OF FURNISHING OF INACCURATE PARTICULARS OR CONCEALMENT OF INCOME. 3. IN THE FACTS AND CIRCUMSTANCES OF THE CASE WE D O NOT FIND ANY JUSTIFICATION TO SUSTAIN PENALTY OF RS.9 100/- IN T HE HANDS OF THE ASSESSEE. ACCORDINGLY THE PENALTY OF RS.9 100/- IS DELETED. 4. IN RESULT THIS APPEAL FILED BY THE ASSESSEE IS A LLOWED. ORDER PRONOUNCED ON FRIDAY THIS 8TH DAY OF JANUARY 2010. SD/- SD/- (MAHAVIR SINGH) JUDICIAL MEMBER (DR.O.K. NARAYANAN) VICE-PRESIDENT PLACE : AHMEDABAD DATE : 08-01-2010 COPY OF THE ORDER FORWARDED TO: 1) : ASSESSEE 2) : RESPONDENT PAGE - 3 ITA NO.3001/AHD/2009 -3- 3) : CIT(A) 4) : CIT CONCERNED 5) : DR ITAT. BY ORDER DR ITAT AHMEDABAD