Case Number: ITA 5730/DEL/2019
Appellant: Rajnish Talwar, New Delhi
Respondent: ACIT Central Circle-4, New Delhi
Assessment Year: 2015-16
Case Filed On: 2019-07-01
Order Type: Final Tribunal Order
Date of Order: 2023-02-16
Pronounced On: 2023-02-16
The case involves Rajnish Talwar as the appellant and the Assistant Commissioner of Income Tax (ACIT), Central Circle-4, New Delhi, as the respondent. The dispute pertains to the imposition of penalty under Section 271(1)(c) for the assessment year 2015-16. The appeal was filed on 2019-07-01, and the final tribunal order was pronounced on 2023-02-16.
Rajnish Talwar filed the case challenging the imposition of penalty under Section 271(1)(c) of the Income Tax Act. The penalty was levied for alleged concealment of income or furnishing of inaccurate particulars of income for the assessment year 2015-16.
On 13th February 2023, the tribunal, comprising Shri Shamim Yahya, Accountant Member, and Ms. Astha Chandra, Judicial Member, heard the case. The appellant was represented by Shri Sandeep Goyal, Adv., while the respondent was represented by Shri T. Kipgen, CIT-DR.
The appellant’s counsel referred to the decision rendered by the Co-ordinate Bench in a batch of appeals, including the appeals by the present assessee in quantum proceedings in ITA Nos. 1614, 1615 & 1616/Del/2019 (AY 2013-14 to 2015-16), where the quantum addition had been deleted vide order dated 19.01.2021. The counsel argued that since the quantum addition was deleted, the basis for the penalty no longer existed.
The respondent did not dispute the proposition put forth by the appellant’s counsel.
The tribunal considered the rival submissions and the case records. The key points from the tribunal’s order are as follows:
The tribunal noted that the quantum appeals related to the captioned appeals had been adjudicated in favour of the assessees, resulting in the deletion of the quantum addition. As the quantum addition was the basis for the imposition of the penalty, the tribunal found that the penalty order was liable to be quashed.
The tribunal quashed the penalty order levied under Section 271(1)(c), as the foundation for the penalty had been invalidated by the deletion of the quantum addition.
The tribunal upheld the appellant’s contention and quashed the penalty imposed under Section 271(1)(c) for the assessment year 2015-16. The appeals of the assessee were allowed, concluding the proceedings.
Order pronounced on: 16/02/2023
Signatories:
SHRI SHAMIM YAHYA, Accountant Member
Ms. ASTHA CHANDRA, Judicial Member
Dated: 16/02/2023
Copy forwarded to:
ASSISTANT REGISTRAR
ITAT NEW DELHI
Rajnish Talwar vs ACIT Central Circle 4: Penalty Appeal for AY 2015-16
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