The DCIT, Circle-5,, Ahmedabad v. Nirma Management Services Pvt.Ltd.,, Ahmedabad

ITSSA 136/AHD/2007 | misc
Pronouncement Date: 07-05-2010 | Result: Dismissed

Appeal Details

RSA Number 13620516 RSA 2007
Bench Ahmedabad
Appeal Number ITSSA 136/AHD/2007
Duration Of Justice 2 year(s) 8 month(s) 14 day(s)
Appellant The DCIT, Circle-5,, Ahmedabad
Respondent Nirma Management Services Pvt.Ltd.,, Ahmedabad
Appeal Type Income Tax (Search & Seizure) Appeal
Pronouncement Date 07-05-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted A
Tribunal Order Date 07-05-2010
Date Of Final Hearing 04-05-2010
Next Hearing Date 04-05-2010
Assessment Year misc
Appeal Filed On 24-08-2007
Judgment Text
- 1 - IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH A AHMEDABAD BEFORE S/SHRI MAHAVIR SINGH JM AND D.C.AGRAWAL AM DY CIT CIRCLE-5 AHMEDABAD. V/S . NIRMA MANAGEMENT SERVICES (P) LTD. NIRMA HOUSE ASHRAM ROAD AHMEDABAD. (APPELLANT) .. (RESPONDENT) APPELLANT BY :- SHRI RAJEEV AGRAWAL CIT DR RESPONDENT BY:- SHRI S.N. SOPARKAR & SHRI HIMANSHU SHAH ARS O R D E R PER D.C. AGRAWAL ACCOUNTANT MEMBER. THIS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF LD. CIT(A) DATED 25.06.2007 RAISING THE FOLLOWING GROUNDS:- 1. THE LD. CIT(A)-XI AHMEDABAD HAS ERRED IN LAW AND O N FACTS IN HOLDING THAT THE ORDER PASSED BY THE AO UNDER SECTI ON 158BC READ WITH SECTION 263 OF THE INCOME-TAX ACT 1961 C ANNOT BE SUSTAINED AND THEREBY DELETING THE ADDITION MADE OF RS.26.74 LACS ON ACCOUNT OF UNDISCLOSED INCOME FOR THE BLOCK PERIOD BEING THE ASSESSEES SHARE OF INVESTMENT IN IGOOR C OFFEE ESTATE. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE THE LD. CIT(A)-XI AHMEDABAD OUGHT TO HAVE UPHELD THE ORDER OF THE AO. IT(SS)A NO.136/AHD/2007 BLOCK PERIOD 1.4.1995 TO 27.9.2001 2 2. THE FACTS OF THE CASE ARE THAT IN THIS CASE BLOC K ASSESSMENT WAS MADE BY THE AO VIDE HIS ORDER DATED 27.11.2006 UNDE R SECTION 158BC FOR THE BLOCK PERIOD FROM 1.4.1995 TO 27.9.2001. UNDISC LOSED INCOME WAS DETERMINED AT NIL. THEREAFTER PROCEEDINGS U/263 OF THE IT ACT WERE INITIATED FOR THE REASONS THAT ASSESSEES SHARE IN THE UNDISCLOSED INVESTMENT TO THE EXTENT OF RS.26.74 LACS IN IGOOR COFFEE ESTATE AS REFLECTED IN THE SEIZED DOCUMENT AT PAGES 17 20 & 2 1 OF THE ANNEXURE-A- 10 WAS NOT INCLUDED IN THE UNDISCLOSED INCOME. THIS ORDER U/S 263 WAS PASSED BY LD. CIT ON 24.2.2006. IN CONSEQUENCE THER EOF LD. AO PASSED A FRESH ORDER UNDER SECTION 158BC READ WITH SECTION 2 63 OF THE ACT ON 27.12.2006 DETERMINING UNDISCLOSED INCOME AT RS.26. 74 LACS BEING THE ALLEGED SHARE OF THE ASSESSEE IN THE UNDISCLOSED IN VESTMENT IN IGOOR COFFEE ESTATE. THE MATTER TRAVELED TO CIT(A) WHO DE LETED THE ADDITION OF RS.26.74 LACS ON THE GROUND THAT ORDER OF LD. CIT P ASSED UNDER SECTION 263 ON 24.2.2006 WAS QUASHED BY THE TRIBUNAL IN IT( SS)A NO.96/AHD/2006 VIDE ITS ORDER DATED 11.12.2006. 3. WE HAVE HEARD THE PARTIES. SINCE THE ORDER OF LD . CIT UNDER SECTION 263 PASSED ON 24.2.2006 DID NOT SURVIVE AS A RESUL T OF ORDER OF THE TRIBUNAL DATED 11.12.2006 THE ORDER OF THE AO DATE D 27.12.2006 WOULD ALSO NOT SURVIVE. ACCORDINGLY APPEAL OF THE REVENU E AGAINST IMPUGNED ORDER OF LD. CIT(A) WOULD ALSO NOT SURVIVE. THE SAM E IS ACCORDINGLY DISMISSED. 3 4. IN THE RESULT DEPARTMENTAL APPEAL IS DISMISSED. SD/- SD/- (MAHAVIR SINGH) (D.C.AGRAWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD DATED : 7/5/2010 MAHATA/- COPY OF THE ORDER FORWARDED TO :- 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT(APPEALS)- 4. THE CIT CONCERNS. 5. THE DR ITAT AHMEDABAD 6. GUARD FILE. BY ORDER DEPUTY / ASSTT.REGISTRAR ITAT AHMEDABAD ORDER PRONOUNCED IN OPEN COURT ON 7/5/2010