SURYAKANT D. NISSAR, MUMBAI v. DCIT 4(2), MUMBAI

ITA 817/MUM/2010 | 2006-2007
Pronouncement Date: 21-10-2010 | Result: Partly Allowed

Appeal Details

RSA Number 81719914 RSA 2010
Assessee PAN AAAPN7166N
Bench Mumbai
Appeal Number ITA 817/MUM/2010
Duration Of Justice 8 month(s) 17 day(s)
Appellant SURYAKANT D. NISSAR, MUMBAI
Respondent DCIT 4(2), MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 21-10-2010
Appeal Filed By Assessee
Order Result Partly Allowed
Bench Allotted E
Tribunal Order Date 21-10-2010
Assessment Year 2006-2007
Appeal Filed On 03-02-2010
Judgment Text
1 ITA NO 817/MUM/2010 I II IN THE INCOME TAX APPELLATE TRIBUNAL N THE INCOME TAX APPELLATE TRIBUNAL N THE INCOME TAX APPELLATE TRIBUNAL N THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH MUMBAI BENCH MUMBAI BENCH MUMBAI BENCH E EE E MUMBAI MUMBAI MUMBAI MUMBAI BEFORE BEFORE BEFORE BEFORE SHRI D K AGARWAL JM & SHRI D K AGARWAL JM & SHRI D K AGARWAL JM & SHRI D K AGARWAL JM & SHRI SHRI SHRI SHRI R R R R K PANDA AM K PANDA AM K PANDA AM K PANDA AM IT ITIT ITA NO A NO A NO A NO. . . . 817/MUM/2010 817/MUM/2010 817/MUM/2010 817/MUM/2010 (ASSESSMENT YEAR 2006-07) SURYAKANT D NISSAR 612 STOCK EXCHAGNE TOWERS DALAL ST MUMBAI VS THE DY COMMR OF INCOME TAX 4(2) MUMBAI (APPELLANT) (RESPONDENT) PAN PAN PAN PAN AAAPN7166N AAAPN7166N AAAPN7166N AAAPN7166N ASSESSEE BY: SHRI DEPAK H PADACHH REVENUE BY: SHRI R S ARNEIA O OO O R RR R D DD D E EE E R RR R PER PER PER PER R RR R K PANDA K PANDA K PANDA K PANDA: :: : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAI NST THE ORDER DATED 13.1.2010 OF THE CIT(A)-8 MUMBAI RELATING TO ASSES SMENT YEAR 2006-07. 2 IN GROUNDS OF APPEAL NO.1 THE ASSESSEE HAS CHALL ENGED THE ORDER OF THE CIT(A) IN CONFIRMING THE ADDITION OF ` . 6 92 888/- MADE BY THE ASSESSING OFFICER TO THE INCOME OF THE ASSESSEE U/S 14A R.W.R 8D OF T HE IT ACT AND I T RULES RESPECTIVELY. 3 AFTER HEARING BOTH THE SIDES WE FIND THE ASSESSI NG OFFICER MADE THE DISALLOWANCE OF ` 6 92 888/- U/S 14A R.W.R 8D OF I T RULES. BEFORE THE CIT(A) IT WAS SUBMITTED THAT THE ASSESSEE HAS NOT INCURRED AN Y EXPENDITURE FOR EARNING EXEMPT INCOME. HOWEVER THE CIT(A) WAS NOT SATISFI ED WITH THE EXPLANATION GIVEN BY THE ASSESSEE AND FOLLOWING THE DECISION OF THE SPECIAL BENCH OF THE TRIBUNAL IN THE CASE OF DAGA CAPITAL MANAGEMENT PVT LTD UPHELD THE ACTION OF THE ASSESSING OFFICER IN COMPUTING THE DISALLOWANCE U/S14A R.W R 8D OF THE I T RULES. IT IS THE SUBMISSIONS BY BOTH THE SIDES TH AT THE MATTER SHOULD GO BACK TO THE FILE OF THE ASSESSING OFFICER FOR FRESH ADJUDIC ATION IN THE LIGHT OF THE LATEST DECISION OF THE JURISDICTIONAL HIGH COURT IN THE CA SE OF GODREJ & BOYCE MFG P LTD VS ACIT REPORTED IN 234 CTR 1. WE THEREFORE REST ORE THIS ISSUE TO THE FILE OF THE ASSESSING OFFICER FOR FRESH ADJUDICATION IN THE LIG HT OF THE DECISION OF THE 2 ITA NO 817/MUM/2010 JU RISDICTIONAL HIGH COURT CITED SUPRA. THE ASSESSING OFFICER SHALL DECIDE THE ISSUE AFRESH IN ACCORDANCE WITH LAW AFTER GIVING DUE OPP ORTUNITY OF BEING HEARD TO THE ASSESSEE. WE HOLD AND DIRECT ACCORDINGLY. THIS GRO UND BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. 4 IN GROUNDS OF APPEAL NO.2 THE ASSESSEE HAS CHAL LENGED THE ORDER OF THE CIT(A) IN UPHOLDING THE ACTION OF THE ASSESSING OFF ICER IN LEVYING INTEREST U/S 234A 234B 234C AND 234D OF THE I T ACT. 5 AFTER HEARING BOTH THE SIDES WE ARE OF THE CONSI DERED OPINION THAT CHARGING OF INTEREST UNDER THE ABOVE PROVISIONS IS MANDATORY AND CONSEQUENTIAL IN NATURE. THIS GROUND IS ACCORDINGLY DISMISSED. 6 GROUNDS OF APPEAL NO.3 RAISED BY THE ASSESSEE REA DS AS UNDER: THE LD CIT(A) ERRED IN HOLDING THAT THE GROUND RAIS ED DISPUTING INITIATION OF PENALTY PROCEEDINGS U/S 271(1) IS NOT APPLEABLE. THE APPELLANT DENIES HIS LIABILITY FOR SUCH PENALTY. 7 AFTER HEARING BOTH THE SIDES WE ARE OF THE CONSI DERED OPINION + THAT THIS GROUND BY THE ASSESSEE IS PRE-MATURED. AC CORDINGLY THE SAME IS DISMISSED. 8 IN THE RESULT THE APPEAL FILED BY THE ASSESSEE I S PARTLY ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED ON THE DATE OF HEARING I.E. ON 21 ST DAY OF OCT 2010. SD/- SD/- ( (( ( D K AGARWAL D K AGARWAL D K AGARWAL D K AGARWAL ) )) ) JUDICIAL MEMBER ( (( ( R K PANDA R K PANDA R K PANDA R K PANDA ) )) ) ACCOUNTANT MEMBER PLACE: MUMBAI : DATED: 21 ST OCT 2010 RAJ* COPY FORWARDED TO: 1 APPELLANT 2 RESPONDENT 3 CIT 4 CIT(A) 5 DR /TRUE COPY/ BY ORDER DY /AR ITAT MUMBAI