M/s. Castex Technologies Ltd., New Delhi v. ACIT, New Delhi

ITA 6296/DEL/2016 | 2008-2009
Pronouncement Date: 29-11-2019 | Result: Dismissed

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Appeal Details

RSA Number 629620114 RSA 2016
Assessee PAN AAACA8504G
Bench Delhi
Appeal Number ITA 6296/DEL/2016
Duration Of Justice 2 year(s) 11 month(s) 21 day(s)
Appellant M/s. Castex Technologies Ltd., New Delhi
Respondent ACIT, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 29-11-2019
Appeal Filed By Assessee
Order Result Dismissed
Bench Allotted B
Tribunal Order Date 29-11-2019
Assessment Year 2008-2009
Appeal Filed On 08-12-2016
Judgment Text
ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 1 OF 6 IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: B: NEW DELHI) BEFORE SHRI SUDHANSHU SRIVASTAVA JUDICIAL MEMBE R AND SHRI ANADEE NATH MISSHRA ACCOUNTANT MEMBER ITA NOS:- 6296 6297 AND 6298/DEL/2016 ( ASSESSMENT YEARS: 2008-09 2009-10 AND 2010-11) M/S CASTEX TECHNOLOGIES LTD. 4 L.S.C. BHANOT APARTMENT PUSHP VIHAR NEW DELHI- 110062. VS. ACIT CENTRAL CIRCLE-30 NEW DELHI. PAN NO: AAACA8504G APPELLANT RESPONDENT ASSESSEE BY : SHRI SOMIL AGRAWAL ADV. REVENUE BY : MS. NIDHI SRIVASTAVA CIT(DR) PER ANADEE NATH MISSHRA AM (A) THESE APPEALS BY ASSESSEE ARE FILED AGAINST THE OR DER OF LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-31 NEW DELHI [LD. CIT(A) FOR SHORT] DATED 19.09.2016 FOR DIFFERENT ASSESSMENT YEARS 2008-09 2009-10 AND 20 10-11 RESPECTIVELY. GROUNDS TAKEN IN THESE APPEALS OF THE ASSESSEE ARE AS UNDER : ITA NO.- 6296/DEL/2016 1. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANC ES OF THE CASE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN CONFIRMING THE ACT ION OF LD. AO IN IMPOSING PENALTY AND PASSING THE IMPUGNED ORDER AND THAT TOO WITHOUT GRANTING ADEQUATE OPPORTUNITY OF BEING HEARD AND WI THOUT OBSERVING THE ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 2 OF 6 PRINCIPLES OF NATURAL JUSTICE. 2. THAT HAYING REGARD TO THE FACTS AND CIRCUMSTANCE S OF THE CASE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN CONFIRMING THE ACT ION OF LD. AO IN IMPOSING PENALTY OF RS.34 47 254/- AND THAT TOO WIT HOUT ASSUMING JURISDICTION AS PER LAW AND WITHOUT CONSIDERING THE FACTS AND CIRCUMSTANCES OF THE CASE. 3. THAT IN ANY CASE AND IN ANY VIEW OF THE MATTER ACTION OF LD. CIT(A) IN CONFIRMING THE ACTION OF LD. AO IN IMPOSING PENALTY OF RS.34 47 254/- U/S 271(L)(C) IS BAD IN LAW AND AGAINST THE FACTS AND C IRCUMSTANCES OF THE CASE. 4. THAT THE ASSESSEE CRAVES THE LEAVE TO ADD ALTER OR AMEND THE GROUNDS OF APPEAL AT ANY STAGE AND ALL THE GROUND'S ARE WITHOU T PREJUDICE TO EACH OTHER. ITA NO.- 6297/DEL/2016 1. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANCE S OF THE CASE LD. CIT(A) HAS ERR IN LAW AND ON FACTS IN CONFIRMING THE ACTIO N OF LD. AO IN IMPOSING PENALTY E PASSING THE IMPUGNED ORDER AND THAT TOO WITHOUT GRA NTING ADEQUATE OPPORTUNITY BEING HEARD AND WITHOUT OBSERV ING THE PRINCIPLES OF NATURAL JUSTICE. 2. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANC ES OF THE CASE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN CONFIRMING THE ACT ION OF LD. AO IN IMPOSING PENALTY OF RS. 44 65 232/- AND THAT TOO WITHOUT ASS UMING JURISDICTION AS PER LAW AND WITHOUT CONSIDERING THE FACTS AND CIRCUMSTA NCES OF THE CASE. 3. THAT IN ANY CASE AND IN ANY VIEW OF THE MATTER ACTION OF LD. CIT(A) IN CONFIRMING THE ACTION OF LD. AO IN IMPOSING PENALTY OF RS.44 65 232/- U/S 271(L)(C) IS B LAW AND AGAINST THE FACTS AND CIRCUM STANCES OF THE CASE. 4. THAT THE ASSESSEE CRAVES THE LEAVE TO ADD ALTE R OR AMEND THE GROUNDS OF APP ANY STAGE AND ALL THE GROUNDS ARE WITHOUT PREJU DICE TO EACH OTHER. ITA NO.- 6298/DEL/2016 1. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANCE S OF THE CASE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN CONFIRMING THE ACT ION OF LD. AO IN IMPOSING PENALTY AND PASSING THE IMPUGNED ORDER AND THAT TOO WITHOUT GRANTING ADEQUATE OPPORTUNITY OF BEING HEARD AND WITHOUT OBS ERVING THE PRINCIPLES OF NATURAL JUSTICE. 2. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANCE S OF THE CASE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN CONFIRMING THE ACT ION OF LD. AO IN IMPOSING PENALTY OF RS.5 06 19 232/- AND THAT TOO WITHOUT AS SUMING JURISDICTION AS PER LAW AND WITHOUT CONSIDERING THE FACTS AND CIRCU MSTANCES OF THE CASE. 3. THAT IN ANY CASE AND IN ANY VIEW OF THE MATTER ACTION OF LD. CIT(A) IN CONFIRMING THE ACTION OF LD. AO IN IMPOSING PENALTY OF RS.5 06 19 232/- U/S 271(L)(C) IS BAD IN LAW AND AGAINST THE FACTS AND C IRCUMSTANCES OF THE CASE. 4. THAT THE ASSESSEE CRAVES THE LEAVE TO ADD ALTER OR AMEND THE GROUNDS OF APPEAL AT ANY STAGE AND ALL THE GROUNDS ARE WITHOUT PREJUDICE TO EACH OTHER. ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 3 OF 6 (B) AT THE TIME OF HEARING THE LD. COUNSEL FOR ASSESSE E SUBMITTED THAT THE ASSESSEE HAS BEEN REFERRED FOR INSOLVENCY AND BANKRUPTCY PRO CEEDINGS AND THE PETITION FOR THE SAME HAS BEEN ADMITTED BY THE NATIONAL COMPANY LAW TRIBUNAL. IT WAS FURTHER SUBMITTED THAT INSOLVENCY RESOLUTION PROFESSIONAL H AS BEEN APPOINTED BY THE NATIONAL COMPANY LAW TRIBUNAL FOR TAKING OVER THE CHARGE OF THE COMPANY. THE LD. COUNSEL ALSO PLACED ON RECORD A COPY OF ORDER DATED 16.07.2 019 OF INCOME TAX APPELLATE TRIBUNAL (ITAT FOR SHORT) IN THE CASE OF AMTEK I NDIA LTD. VS. DCIT IN ITA NOS.- 4954/DEL/2014 TO 4958/DEL/2014 PERTAINING TO ASSES SMENT YEARS 2008-09 TO 2011-12 IN A BENCH OF ITAT DELHI. FOR EASY REFERENCE WE REPRODUCE THE RELEVANT PORTION OF AFORESAID ORDER DATED 16.07.2019 AS UNDER: 2.0 AT THE TIME OF HEARING THE LD. AR SUBMITTED T HAT THESE GROUP OF APPEALS BELONGING TO THE AMTEK GROUP HAVE BEEN REFERRED TO INSOLVENCY AND BANKRUPTCY AND THE PETITION FOR THE SAME HAS. BEEN ADMITTED BY THE NATIONAL COMPANY LAW TRIBUNAL CHANDIGARH. BENCH VI DE ITS ORDER DATED 20.12 2017. IT WAS FURTHER SUBMITTED THAT INSOLVENC Y RESOLUTION PROFESSIONAL HAS BEEN APPOINTED BY THE NATIONAL. CO MPANY LAW TRIBUNAL CHANDIGARH BENCH VIDE ITS ORDER DATED 22.12.2017 FO R - TAKING OVER THE CHARGE OF THE COMPANY. THE ID AR ALSO PLACED ON RE CORD A COPY OF ORDER IN THE CASE OF AMTEK MUG GEARS LTD. WHICH IS A GROU P COMPANY FOR ASSESSMENT YEARS 2008-09 TO 2011-12 WHEREIN VIDE A CONSOLIDATED ORDER DATED 17 35 2019 L A BENCH OF THE TRIBUNAL HAS DISMISSED THE OLD APPE ALS FILED BY THE ASSESSEE AS WELL AS OF THE REVENUE ON THE GROUND THAT SINCE ACCORDING TO THE PROVISIONS OF SECTION 14 OF THE IN SOLVENCY AND BANKRUPTCY CODE 2016 A MORATORIUM HAD BEEN DECLARED AND THE CONTINUATION OF ANY PENDING SUIT IS BARRED AND THEREFORE TILL THE INSO LVENCY PROCESS CONTINUES THESE APPEALS CANNOT BE PROCEEDED WITH. THE ID. AR SUBMITTED THAT A SIMILAR ORDER DISMISSING THE APPEALS OF THE REVENUE AS WELL- AS THE ASSESSEE MAY BE PASSED IN THESE BATCH OF APPEALS AL SO. 2.1 THE ID. C.I.T. DR HAD NO OBJECTION TO THIS REQUEST OF THE ID. AR. 3. HAVING HEARD BOTH THE PARTIES WE AGREE WITH THE CONTENTION OF THE ID AR ACCORDING TO THE PROVISION OF SECTION 14 OF THE INSOLVENCY AND BANKRUPTCY CODE 2016 THE MORATORIUM HAS BEEN DECLARED AND TH E CONTINUATION OF ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 4 OF 6 ANY PENDING SUIT IS BARRED. THEREFORE TILL THE INS OLVENCY PROCESS CONTINUES THESE APPEALS CANNOT BE PROCEEDED WITH. IN VIEW OF THIS TILL THE COMPANY IS REVIVED IN TERMS OF THE INCOME TAX .ACT 1961 {H EREINAFTER REFERRED TO AS 'THE ACT') ANY APPEAL FILED BY THE ASSESSES AND THE ID. AO BECOMES INFRUCTUOUS. THEREFORE WE DISMISS ALL THE APPEALS FILED BY THE ASSEASEE AS WELL AS THE REVENUE. HOWEVER IN THE INTEREST OF JUSTICE WE GIVE LIBERTY TO THE ASSESSEE AS WELL AS TO THE REVENUE- TO FILE AN APPLICATION FOR REVIVAL OF THESE APPEALS AS AND WHEN THE MORATORIUM PERIOD IS OVER OR REVIVAL OF THE COMPANY TAKES PLACE. MEANWHILE ALL THE APPEALS FIL ED BY THE ASSESSEE AS WELL AS BY THE REVENUE ARE DISMISSED. (B.1) THE LD. COUNSEL FOR ASSESSEE SUBMITTED THAT IN THE AFORESAID ORDER DATED 16.07.2019 THE ITAT HAD IN SIMILAR FACTS AND CIRC UMSTANCES; DISMISSED THE APPEALS FILED BY THE ASSESSEE AS WELL AS BY REVENUE ON THE GROUND THAT SINCE ACCORDING TO THE PROVISIONS OF SECTION 14 OF THE INSOLVENCY AND BANK RUPTCY CODE 2016 A MORATORIUM HAD BEEN DECLARED AND THE CONTINUATION OF ANY PENDI NG SUIT IS BARRED AND THEREFORE TILL THE INSOLVENCY PROCESS CONTINUES THESE APPEALS CAN NOT BE PROCEEDED WITH. THE LD. COUNSEL FOR ASSESSEE ALSO SUBMITTED THAT A SIMILAR ORDER DISMISSING THE APPEALS OF THE ASSESSEE MAY BE PASSED IN THESE BATCH OF APPEALS AL SO. THE LEARNED COMMISSIONER OF INCOME TAX (DEPARTMENTAL REPRESENTATIVE) [LD. CIT( DR) FOR SHORT) HAD NO OBJECTION TO THIS REQUEST OF THE LD. COUNSEL FOR ASSESSEE. (C) WE HAVE HEARD BOTH THE PARTIES. WE HAVE ALSO PERU SED THE MATERIALS AVAILABLE ON RECORD. ACCORDING TO THE PROVISION OF SECTION 1 4 OF THE INSOLVENCY AND BANKRUPTCY CODE 2016 THE MORATORIUM HAS BEEN DECLARED AND TH E CONTINUATION OF ANY PENDING SUIT IS BARRED. THEREFORE TILL THE INSOLVENCY PRO CESS CONTINUES THESE APPEALS CANNOT BE PROCEEDED WITH. IN VIEW OF THIS TILL THE COMPANY IS REVIVED IN TERMS OF THE INCOME TAX ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 5 OF 6 ACT 1961 (I.T. ACT FOR SHORT) THESE APPEALS NE ED NOT BE ADJUDICATED PRESENTLY. IN VIEW OF THE FOREGOING AND AS BOTH SIDES HAVE AGREE D TO THIS AT THE TIME OF HEARING BEFORE US; WE DISMISS THESE APPEALS. HOWEVER BEFO RE WE LEAVE IN THE INTEREST OF JUSTICE WE GIVE LIBERTY TO THE ASSESSEE TO FILE AN APPLICATION FOR REVIVAL OF THESE APPEALS IF DEEMED FIT IN ACCORDANCE WITH LAW AS AND WHEN THERE IS MATERIAL CHANGE IN FACTS AND CIRCUMSTANCES SUCH AS WHEN THE MORATORIUM PERIOD I S OVER OR WHEN REVIVAL OF THE COMPANY TAKES PLACE. MEANWHILE ALL THE APPEALS FI LED BY THE ASSESSEE ARE DISMISSED. (D) IN THE RESULT APPEALS FILED BY THE ASSESSEE ARE D ISMISSED. ORDER IS PRONOUNCED IN OPEN COURT ON 29/11/19. SD/- SD/- (SUDHANSHU SRIVASTAVA) (ANADEE NA TH MISSHRA) JUDICIAL MEMBER ACCOUNTANT MEMBE R DATED: 29/11/19 POOJA/- COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI ITA NOS.- 6296/DEL/2016 AND OTHERS. CASTEX TECHNOLOGIES LTD. PAGE 6 OF 6 DATE OF DICTATION DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER