DLF Garden City Indore Private Limited
1-E, Naaz Cinema Complex, Jhandewalan Extension, New Delhi-110 055
PAN-AAFCA 5034N
Vs.
Asst. CIT
Circle-7(1), New Delhi
(Appellant)
(Respondent)
Appellant by: Mr. R.S. Singhvi, CA and Mr. Satyajeet Goel, CA
Respondent by: Mr. Harpal Singh Kharab, Senior Departmental Representative (“Sr. DR” for short)
PER ANADEE NATH MISSHRA, AM:
This appeal by Assessee is filed against the order of Learned Commissioner of Income Tax (Appeals)-3, New Delhi [Ld. CIT(A)], dated 04/02/2020 for Assessment Year 2014-15. Grounds taken in this appeal are as under:
1. That having regard to the facts and circumstances of the case, the Hon’ble Commissioner of Income Tax (Appeals) has erred in law and on facts in dismissing the appeal of the assessee company wholly on untenable grounds.
2. That on the facts and in law, the Hon’ble Commissioner of Income Tax (Appeals) has erred in holding that the order dated 19/06/2019 passed by the Assessing Officer u/s 143(3) r.w.s.263 of the Act, is not appealable before the CIT(A).
3. That on the facts and circumstances of the case, the learned CIT(A) was not justified in confirming the addition of Rs. 6,35,58,558/- on account of Anticipated Loss.
4. That the appellant craves leave to add, alter, amend, change, vary, substitute or raise any additional ground of appeal if it becomes necessary to do so in the interest of justice at the time of hearing.
In this case, the original assessment order dated 27/12/2016 was passed by the Assessing Officer u/s 143(3) of the Income Tax Act (‘IT Act’), wherein the total income of the assessee was assessed at Rs.12,52,32,500/-, accepting the returned income of the assessee. Vide revisionary order dated 14/03/2019 passed u/s 263 of the IT Act by the learned Principal Commissioner of Income Tax (‘PCIT’), the aforesaid order dated 27/12/2016 was cancelled and the Assessing Officer was directed to pass a fresh assessment order. The Assessing Officer passed a fresh assessment order dated 19/06/2019 u/s 143(3) r.w.s.263 of the IT Act, wherein the assessee’s income was assessed at Rs.18,87,91,060/-. In the aforesaid assessment order dated 19/06/2019, the assessee’s claim amounting to Rs.6,35,58,558/- by way of provisions was disallowed and added to the assessee’s returned income. The assessee’s appeal against the aforesaid assessment order dated 19/06/2019 was dismissed by the learned CIT(A) vide impugned appellate order dated 04/02/2020, holding that the assessee’s appeal was not maintainable.
In the meantime, the assessee filed an appeal in the Income Tax Appellate Tribunal (‘ITAT’) against the aforesaid revisionary order dated 14/03/2019. Vide order dated 07/09/2022 passed by the Co-ordinate Bench of ITAT, Delhi in ITA No.3731/Del/2019 for AY 2014-15 in the case of DLF Garden City Indore Pvt. Ltd. vs. PCIT, the aforesaid revisionary order dated 14/03/2019 of PCIT was quashed, thus in effect restoring the original assessment order dated 27/12/2016 passed by the Assessing Officer.
The present appeal before us has been filed by the assessee against the aforesaid impugned appellate order dated 04/02/2020 of the learned CIT(A). In the course of appellate proceedings in the Income Tax Appellate Tribunal, a copy of the aforesaid order dated 07/09/2022 of the Co-ordinate Bench of ITAT in the case of DLF Garden City Indore Pvt. Ltd. vs. PCIT in ITA No.3731/Del/2019 for AY 2014-15 was filed from the assessee’s side.
At the time of hearing before us, Mr. R.S. Singhvi, CA, the learned Authorized Representative (‘AR’) for the assessee submitted that the aforesaid order dated 07/09/2022 passed by the Co-ordinate Bench of ITAT, Delhi in the assessee’s own case has in effect restored the original assessment order dated 27/12/2016. He further submitted that the aforesaid revisionary order dated 14/03/2019 having been quashed by the Co-ordinate Bench of ITAT Delhi in the aforesaid order dated 07/09/2022, the fresh assessment order dated 19/06/2019, (passed in pursuance of the aforesaid revisionary order dated 14/03/2019) has no legs to stand at present.
The learned Sr. DR for Revenue, Mr. Harpal Singh Kharab did not bring any facts and circumstances or legal submissions or decided precedents or any other materials to controvert the aforesaid submissions/contentions of the learned AR for the assessee.
It is not in dispute that the aforesaid revisionary order dated 14/03/2019 of the learned PCIT has been quashed by the Co-ordinate Bench of ITAT, Delhi vide aforesaid order dated 07/09/2022 in the case of DLF Garden City Indore Pvt. Ltd. (supra). It follows that the aforesaid assessment order dated 19/06/2019 passed in pursuance of the aforesaid revisionary order dated 14/03/2019 has no legs to stand; and that in effect the original assessment order dated 27/12/2016 stands restored and further that the impugned appellate order dated 04/02/2020 of the learned CIT(A) is of no relevance at present.
In view of the foregoing, the first two grounds of appeal in the present appeal before us have become merely academic and need not be adjudicated. Further, respectfully following the aforesaid order dated 07/09/2022 in the case of DLF Garden City Indore Pvt. Ltd. (supra) of the Co-ordinate Bench of ITAT, Delhi, we hold, in respect of the third ground of appeal, that the original assessment order dated 27/12/2016 is the effective assessment order as on date; and we direct the Assessing Officer to treat the original assessment order dated 27/12/2016 as restored at present. Accordingly, the third ground of appeal in the present appeal before us is treated as allowed.
For statistical purposes, the appeal is treated as partly allowed.
Order pronounced in the open Court on 02/12/2022.
Sd/-
(KUL BHARAT)
JUDICIAL MEMBER
Sd/-
(ANADEE NATH MISSHRA)
ACCOUNTANT MEMBER
Dated: 02/12/2022
Pk
Copy forwarded to:
1. Appellant
2. Respondent
3. CIT
4. CIT(Appeals)
5. DR: ITAT
ASSISTANT REGISTRAR
ITAT NEW DELHI
DLF Garden City Indore vs ACIT: Assessment Order Restoration
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