Income Tax Appellate Tribunal - Mumbai
Pharma Search, Mumbai vs Department Of Income Tax on 6 July, 2015
ुं ई यायपीठ "सी" मब आयकर अपील य अ धकरण, मब ुं ई IN THE INCOME TAX APPELLATE TRIBUNAL "C" BENCH, MUMBAI BEFORE S/SHRI B.R.BASKARAN (AM) AND AMIT SHUKLA, (JM) सव ी बी.आर.बा करन, लेखा सद य एवं अ मत शु ला, या यक सद य के सम आयकर अपील सं./I.T.A. No.639/Mum/2014 ( नधारण वष / Assessment Year :2007-08) Income Tax Officer-15(3)(1), बनाम/ M/s Pharma Search, 2202, Room No.106, Matru Mandir Vs. Turino, Opp Bhatia Hospital, Hiranandani Garden, Grant Road, Powai, Tardeo Road, Mumbai-400076.
Mumbai-400007 (अपीलाथ /Appellant) .. ( यथ / Respondent) थायी ले ख ा सं . /जीआइआर सं . /PAN/GIR No. :AAIFP1230H अपीलाथ ओर से / Appellant by Shri Premanand J यथ क ओर से/Rspondent by Shri Devendra H Jain सुनवाई क तार ख / Date of Hearing : 6.7.2015 घोषणा क तार ख /Date of Pronouncement : 6.7.2015 आदे श / O R D E R PER B.R. BASKARAN (AM) The Appeal filed by the revenue is directed against the order dated 7.11.2013 passed by ld. Commissioner of Income Tax-(A)-26, Mumbai, for assessment year 2007-08, wherein the ld.CIT(A) has deleted the penalty levied by the AO under section 271(1)(c) of the Income Tax Act, 1961 (the Act)
2. At the time of hearing, the ld. Counsel appearing for the assessee submitted that the impugned penalty was levied by the AO for concealment of particulars of income to the tune of Rs.45,80,646/-
2 I T A N o . 6 3 9 / Mu m / 2 0 1 4 (740,646/- for consultancy charges and Rs.38,40,000/- for keyman insurance premium). On appeal before the First Appellate Authority, the ld. CIT(A) sustained the addition of consultancy charges Rs.740,646/-. With regard to the addition of Rs.42 lakhs, the ld.CIT(A) gave relief to the extent of Rs.3,60,000/- and confirmed the remaining amount of Rs.38,40,000/- being non business expenditure. On further appeal, the Tribunal in the quantum assessment proceeding, vide its order dated 2.5.2012 rendered in ITA no.7303/Mum/2010(AY-2007-08) deleted both the additions that were confirmed by ld. CIT(A). Since the additions, on which the impugned penalty was levied, has been deleted by the Tribunal in the quantum assessment proceedings, the ld. CIT(A) deleted the penalty levied on those additions.
3. The ld. DR did not controvert the above submissions made by the ld. Counsel of the assessee.
4. Since the additions on which the penalty was levied have been deleted by the Tribunal, the impugned penalty order does not have legs to stand on its own. Hence the Ld CIT(A) was justified in cancelling the penalty for the reasons mentioned above.
5. In the result, the appeal filed by the revenue is dismissed Pronounced accordingly on 6th July, 2015. घोषणा खल ु े यायालय म दनांकः 6th July, 2015 को क गई ।
Sd sd
(अ मत शु ला / AMIT SHUKLA) (बी.आर.बा करन / B.R. BASKARAN)
या यक सद य / JUDICIAL MEMBER लेखा सद य / ACCOUNTANT MEMBER
मुंबई Mumbai: 6th July,2015.
3 I T A N o . 6 3 9 / Mu m / 2 0 1 4
व. न.स./ SRL , Sr. PS
आदे श क त ल प अ े षत/Copy of the Order forwarded to :
1. अपीलाथ / The Appellant
2. यथ / The Respondent.
3. आयकर आयु त(अपील) / The CIT(A)- concerned
4. आयकर आयु त / CIT concerned
5. वभागीय त न ध, आयकर अपील य अ धकरण, मंब ु ई/ DR, ITAT, Mumbai concerned
6. गाड फाईल / Guard file.
आदे शानुसार/ BY ORDER, True copy सहायक पंजीकार (Asstt. Registrar) आयकर अपील य अ धकरण, मुंबई /ITAT, Mumbai