Income Tax Appellate Tribunal - Ahmedabad
The Ito, Ward-9(1),, Ahmedabad vs M/S. Sujal Developers,, Ahmedabad on 27 October, 2017
IN THE INCOME TAX APPELLATE TRIBUNAL
AHMEDABAD "A" BENCH
(BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER
& SHRI MAHAVIR PRASAD, JUDICIAL MEMBER)
ITA. No: 2546/AHD/2014
(Assessment Year: 2007-08)
Income Tax Officer, Ward- V/S M/s. Sujal Developers 1st
9 (1), Ahmedabad Floor, Sanskrut, Old High
Court, Off Ashram Road,
Ahmedabad
(Appellant) (Respondent)
PAN: AAMFM1427H
Appellant by : Shri K. Madhusudan, Sr. D.R.
Respondent by : Shri Bharat S. Shah, A.R.
(आदे श)/ORDER
Date of hearing : 26 -10-2017
Date of Pronouncement : 27-10-2017
PER N.K. BILLAIYA, ACCOUNTANT MEMBER:
1. This appeal by the Revenue is preferred against the order of the Ld. CIT(A)- XV, Ahmedabad dated 19.06.2014 pertaining to A.Y. 2007-08.
2 ITA No. 2546/Ahd/2014. A.Y. 2007-08
2. The only grievance of the revenue is that the ld. CIT(A) erred in deleting the penalty of Rs. 46,12,897/- levied u/s. 271(1)(c) of the Act.
3. The roots for the levy of penalty lie in the assessment order dated 24.12.2009 framed u/s. 143(3) of the Act. The assessee is a builder and real estate developer and for the year under consideration in its return of income filed on 27.10.2007, the assessee had claimed deduction of Rs. 1,37,07,361/- u/s. 80IB(10) of the Act.
4. After thorough scrutiny of the claim of the assessee, the A.O. denied the claim of deduction u/s. 80IB of the Act and penalty proceedings were separately initiated.
5. Since the Assessing Officer was convinced that by claiming the deduction u/s. 80IB(10) of the Act, which was otherwise not eligible to the assessee, the A.O. levied penalty u/s. 271(1)(c) of the Act for furnishing inaccurate particulars of income and computed the penalty at Rs. 46,12,897/-.
6. Assessee carried the matter before the ld. CIT(A) and got the relief.
7. Facts of the case show that when the claim of deduction was denied by the A.O., the matter travelled up to the Tribunal and the Tribunal vide in ITA Nos. 2427/Ahd/2010 & 552/Ahd/2011 restored the matter to the files of the ld. CIT(A) with a direction to decide the claim of deduction afresh.
3 ITA No. 2546/Ahd/2014. A.Y. 2007-08
8. As per direction of the Tribunal, the ld. CIT(A) vide order dated 09.09.2016 considered the issues on merits and allowed the claim of deduction u/s. 80IB(10) of the Act.
9. "Sublato Fundamento Cadit Opus"- since the foundation has been removed, the super structure must fall. Appeal filed by the Revenue is accordingly dismissed.
Order pronounced in Open Court on 27 - 10- 2017
Sd/- Sd/-
(MAHAVIR PRASAD) (N. K. BILLAIYA)
JUDICIAL MEMBER ACCOUNTANT MEMBER
Ahmedabad: Dated 27s/10/2017
Rajesh
Copy of the Order forwarded to:-
1. The Appellant.
2. The Respondent.
3. The CIT (Appeals) -
4. The CIT concerned.
5. The DR., ITAT, Ahmedabad.
6. Guard File.
By ORDER
Deputy/Asstt.Registrar
ITAT,Ahmedabad