Case Number: ITA 2120/DEL/2019
Appellant: Vinod Jindal, Faridabad
Respondent: DCIT, Faridabad
Assessment Year: 2013-14
Result: 2013-14
Case Filed On: 2019-03-11
Order Type: Final Tribunal Order
Date of Order: 2022-09-26
Pronounced On: 2022-09-26
This appeal by Vinod Jindal addresses the penalty imposed under section 271AAA of the Income-tax Act, 1961 for the assessment year 2013-14. The appeal challenges the order dated 29.12.2018 by the Commissioner of Income Tax (Appeals)-3, Gurgaon, which confirmed the penalty initially levied by the Assessing Officer.
The assessee, a resident individual, was subjected to a search and seizure operation under section 132 on 09.05.2012 in connection with M/s. SRS group. Following this, a notice was issued to him to furnish a return for the year in question, which he did, declaring an income of Rs.9,25,050. However, the assessment was completed with a determined total income of Rs.33,79,234 due to additions made for unexplained jewellery and cash.
The Assessing Officer, not satisfied with the assessee’s explanation regarding the additions, initiated penalty proceedings and imposed a penalty of Rs.2,45,418. This penalty was upheld by the Commissioner of Income Tax (Appeals).
The Tribunal noted that while the quantum appeal was under consideration, it deleted the addition related to the unexplained cash and remanded the issue concerning the jewellery to the Assessing Officer for fresh adjudication. Given these developments, the Tribunal held that the penalty based on these additions could not stand as the primary grounds for the penalty no longer existed. Therefore, the penalty was deleted, though the Tribunal allowed for the possibility of re-initiation of penalty proceedings depending on the outcomes of the reassessment.
The appeal by Vinod Jindal was allowed, leading to the deletion of the penalty. This case highlights the dynamic nature of tax assessments and penalties, especially following judicial appeals that alter the foundational facts of the cases.
IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI BENCH: ‘F’ NEW DELHI
BEFORE SHRI SAKTIJIT DEY, JUDICIAL MEMBER AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER
ITA No.2120/Del/2019
Assessment Year: 2013-14
Vinod Jindal, H. No. 122, Sector-9, Faridabad Vs. DCIT, Central Circle-II, Faridabad. PAN: AENPJ1202Q (Appellant) Vs (Respondent)
Order pronounced in the open court on 26th September, 2022.
Vinod Jindal vs. DCIT, Faridabad: Penalty Case for AY 2013-14
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