Sh. Rajiv Gupta, Delhi v. ACIT, New Delhi

ITA 6423/DEL/2014 | 2005-2006
Pronouncement Date: 29-11-2017 | Result: Allowed

Appeal Details

RSA Number 642320114 RSA 2014
Assessee PAN AFEPG3221J
Bench Delhi
Appeal Number ITA 6423/DEL/2014
Duration Of Justice 3 year(s) 5 day(s)
Appellant Sh. Rajiv Gupta, Delhi
Respondent ACIT, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 29-11-2017
Appeal Filed By Assessee
Tags No record found
Order Result Allowed
Bench Allotted F
Tribunal Order Date 29-11-2017
Assessment Year 2005-2006
Appeal Filed On 24-11-2014
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: F NEW DELHI BEFORE SHRI R.S. SYAL VICE PRESIDENT AND SMT. BEENA A PILLAI JUDICIAL MEMBER ITA NO. 6 42 3 /DEL/201 4 A . Y . 2005 - 06 ITA NO. 6 424 /DEL/201 4 A . Y . 200 6 - 07 ITA NO. 6 425 /DEL/201 4 A.Y. 20 07 - 08 ITA NO. 6 42 6 /DEL/201 4 A.Y. 20 0 6 - 07 ITA NO. 6 42 7 /DEL/201 4 A.Y. 20 0 7 - 08 ITA NO. 6 42 8 /DEL/201 4 A.Y. 20 0 8 - 09 SH. RAJIV GUPTA A - 1 CC COLONY OPP. RP BAGH DELHI PAN: AFEPG3221J VS . A CIT CENTRAL CIRCLE 12 NEW DELHI (APPELLANT) (RESPONDENT) APPELLANT BY SH. SB GUPTA FCA RESPONDENT BY SHRI ATIQ AHMAD SR.D.R DATE OF HEARING 2 3 RD NOVEMBER 2017 DATE OF PRONOUNCEMENT 29 TH NOVEMBER 2017 ORDER PER BEENA A PILLAI JUDICIAL MEMBER T HE PRESENT PENALTY APPEAL S HA VE BEEN FILED BY ASSESSEE AGAINST ORDER DATED 01/09/14 PASSED BY LD.CIT(A) - XXXI FOR ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 2 OF 8 ASSESSMENT YEARS 2005 - 06 TO 2008 - 09 ON THE FOLLOWING GROUNDS OF APPEAL: ITA NO. 6423/ D EL/2014 1 . THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF PENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED SHOULD BE DELETED. 2 . THAT THE APPELLANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. ITA NO. 6424/DEL/2014 1 . THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF P ENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED SHOULD BE DELETED. 2 . THAT THE APPELLANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. ITA NO. 6425/DEL/2014 1 . THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF PENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED SHOULD BE DELETED. ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 3 OF 8 2 . THAT THE APPELLANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. ITA NO. 6426/DEL/2014 1 . THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF PENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED SHOULD BE DELETED. 2 . THAT THE APPEL LANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. ITA NO. 6427/DEL/2014 1 . THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF PENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED SHOULD BE DELETED. 2 . THAT THE APPELLANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. ITA NO. 6428/DEL/2014 1 . THAT O N THE FACTS AND CIRCUMSTANCES OF THE CASE INITIATION OF PENALTY PROCEEDINGS AGAINST THE ASSESSEE U/S 274 R.W.S. 271(1)(B) AND IMPOSITION OF PENALTY OF RS.10 000/ - UPON THE ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 4 OF 8 ASSESSEE U/S 271(1)(B) IS ILLEGAL AND UNJUSTIFIED AND THEREFORE PENALTY IMPOSED S HOULD BE DELETED. 2 . THAT THE APPELLANT CRAVES TO ADD DELETE AMEND OR MODIFY THE GROUNDS AT THE TIME OF HEARING. 2. BRIEF FACTS OF THE CASE ARE AS UNDER: D URING THE ASSESSMENT PROCEEDINGS ASSESSEE HAD FAILED TO COMPLY WITH NOTICES UNDER SECTION 143(2)/142 1) ISSUED BY AO IN THE RESULT OF WHICH LD. AO PASSED PENALTY ORDERS UNDER SECTION 271 (1) (B) OF THE A CT FOR ALL THE 7 ASSESSMENT YEARS LEVYING PENALTY AS UNDER: S.NO. ASSESSMENT YEAR DATE OF NOTICE NON - COMPLIED WITH PENALTY LEVIED 1. 2005 - 06 19/09/2012 RS. 10 000 2. 2006 - 07 19/09/12 RS. 10 000 3. 2006 - 07 11/01/13 RS. 10 000 4. 2007 - 08 19/09/12 RS. 10 000 5. 2007 - 08 11/01/13 RS. 10 000 6. 2008 - 09 11/01/13 RS. 10 000 2.1. IT HAS BEEN SUBMITTED BY LD. AR THAT MR SATYA PRAKASH GUPTA FATHER OF ASSESSEE AND MRS ANJU GUPTA SISTER - IN - LAW OF ASSESSEE WERE HOSPITALISED DUE TO SEVERE ILLNESS. IT HAS BEEN SUBMITTED THAT UNDER THE CIRCUMSTANCES ASSESSEE COULD NOT COMPLY WITH THE NOTICES ISSUED BY LD. AO. IT HAS B EEN SUBMITTED BY LD. AR THAT ON IDENTICAL CIRCUMSTANCES PENALTY LEVIED FOR NON - COMPLIANCE OF NOTICE ISSUED BY LD. AO IN THE CASE OF FAMILY MEMBERS OF ASSESSEE HAS BEEN CANCELLED BY VARIOUS ORDERS OF THIS T RIBUNAL. ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 5 OF 8 2.2. HE PLACED RELIANCE UPON THE DECISION P ASSED BY THIS T RIBUNAL ON 07/09/17 IN THE CASE OF SHREE GHANSHYAM GUPTA IN ITA NOS. 6375 AND 6378/DEL/2014 FOR ASSESSMENT YEAR 2005 - 06 SMT. NEERU GUPTA IN ITA NO. 6569 6570 AND 6571/DEL/2014 FOR ASSESSMENT YEARS 2005 - 06 TO 2007 - 08 V IDE ORDER DATED 15/09 /17. 2.3. ON THE CONTRARY LD. DR PLACED RELIANCE UPON THE ORDER OF LD. AO . 3. W E HAVE PERUSED THE SUBMISSIONS ADVANCED BY BOTH THE SIDES IN THE LIGHT OF THE RECORDS PLACED BEFORE US AND THE DECISIONS RELIED UPON BY THE LD. AR PASSED BY THIS T RIBUNAL . O N PE RUSAL OF ORDER PASSED BY THIS T RIBUNAL IT IS OBSERVED THAT MR SATYA PRAKASH GUPTA FATHER OF ASSESSEE WAS HOSPITALISED FOR TREATMENT OF HEART ATTACK DURING THE RELEVANT PERIOD. IT IS OBSERVED THAT LD. CIT (A) WHILE CONFIRMING THE ORDER OF LD. AO FOR ASSE SSMENT YEAR 2005 - 06 TO 2007 - 08 HAS OBSERVED AS UNDER: 4.4. CONSIDERING THE ABOVE THERE IS MERIT IN LEVYING PENALTY IN SPITE OF CERTAIN PROCEDURAL DEFICIENCIES POINTED OUT BY THE AR. HOWEVER LEVYING PENALTY FOR 7 YEARS IN MY VIEW WOULD BE HARSH ON THE ASSESSEE. THEREFORE I AM OF THE VIEW THAT AT THE GIVEN CIRCUMSTANCES IT WOULD BE APPROPRIATE IF PENALTIES OF RS. 10 000 EACH ONLY FOR 3 OF THE 7 ASSESSMENT YEARS INVOLVED ARE CONFIRMED AND THE PENALTIES FOR OTHER ASSESSMENT YEARS ARE DELETED. THUS PENALTY TO THE EXTENT OF RS. 10 000/ - EACH FOR ASSESSMENT YEAR 2005 - 06 2006 - 07 AND 2007 - 08 ARE CONFIRMED AND FOR ASSESSMENT YEAR 2008 - 09 2009 - 10 2010 - 11 AND 2011 - 12 PENALTIES ARE HEREBY DELETED. ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 6 OF 8 3.1. WHILE DECIDING THE CASE FOR ASSESSMENT YEAR 2008 - 09 LD. CIT (A) OBSERVED AS UNDER: 4.7. CONSIDERING THE ABOVE THERE IS MERIT IN LEVYING PENALTY IN SPITE OF CERTAIN PROCEDURAL DEFICIENCIES POINTED OUT BY THE AR. HOWEVER LEVYING PENALTY FOR 6 YEARS IN MY VIEW WOULD BE HARSH ON THE ASSESSEE. THEREFORE I AM OF THE VIEW THAT AT THE GIVEN CIRCUMSTANCES IT WOULD BE APPROPRIATE IF PENALTIES OF RS. 10 000 EACH ONLY FOR 3 OF THE 7 ASSESSMENT YEARS INVOLVED ARE CONFIRMED AND THE PENALTIES FOR OTHER ASSESSMENT YEARS ARE DELETED. THUS PENALTY TO THE EXTENT OF RS. 10 000/ - EAC H FOR ASSESSMENT YEAR 2006 - 07 2007 - 08 AND 2008 - 09 ARE CONFIRMED AND FOR ASSESSMENT YEAR 2009 - 10 2010 - 11 AND 2011 - 12 PENALTIES ARE HEREBY DELETED. 3.2. IT IS OBSERVED THAT THE REASONS GIVEN BY ASSESSEE BEFORE THE AUTHORITIES BELOW FOR NON - COMPLIANCE HAVE NOT BEEN DISPUTED WHICH ESTABLISHES A REASONABLE CAUSE. FURTHER THE EXPLANATION OFFERED BY ASSESSEE FOR CERTAIN NOTICES ISSUED FOR PARTICULAR ASSESSMENT YEARS HAVE BEEN ACCEPTED BY LD.CIT(A) WHILE PASSING A CONSOLIDATED ORDER FOR ASSESSMENT YEARS FROM 200 5 - 06 TO 2011 - 12. UNDER SUCH CIRCUMSTANCES WE ARE OF THE CONSIDERED OPINION THAT LD. CIT (A) WAS NOT JUSTIFIED IN CONFIRMING THE PENALTIES FOR OTHER ASSESSMENT YEARS. ACCORDINGLY WE ARE INCLINED TO DELETE THE PENALTY LEVIED BY LD. AO UNDER SECTION 271(1)(B) OF THE A CT AND GROUNDS RAISED BY ASSESSEE FOR ASSESSMENT YEARS UNDER CONSIDERATION BEFORE US STAND ALLOWED. 4. IN THE RESULT APPEAL S FILED BY THE ASSESSEE FOR THE YEARS UNDER CONSIDERATION STAND ALLOWED. ORDER PRONOUNCED IN THE OPE N COURT ON 2 9 . 1 1 . 2 0 1 7 . S D / - S D / - (R.S. SYAL) (BEENA A PILLAI) VICE PRESIDENT JUDICIAL MEMBER DATED . 2 9 T H NOVEMBER 2017. ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 7 OF 8 COPY OF THE ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR 6. GUARD FILE BY ORDER ASST. REGISTRAR ITAT DELHI BENCHES NEW DELHI *MV G ITA NOS. 6423 - 6424 - 6425 - 6426 - 6427&6428/DEL/14 AY 2005 - 06 TO 2008 - 09 SH. RAJIV GUPTA NEW DELHI PAGE 8 OF 8 DATE 1. DRAGON DICTATION 2 7 .11.2017 2. DRAFT PLACED BEFORE AUTHOR 2 8 .11.2017 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 4. APPROVED DRAFT COMES TO SRPS/PS 5. KEPT FOR PRONOUNCEMENT ON 6. FILE SENT TO BENCH CLERK 7. ORDER UPLOADED