SHRI JASPAL SINGH ,AMRITSAR vs. INCOME TAX OFICER , WARD-5(2), AMRITSAR

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR (SMC) BEFORE SH. SANJAY ARORA, ACCOUNTANT MEMBER I.T.A. No. 240/Asr/2018 Assessment Year: 2004-05

Jaspal Singh, s/o Swaran Singh, vs. Income Tax Officer, 45-GF, B-Block, Ranjit Avenue, Ward-5(2), Amritsar Amritsar [PAN: ABQPS 7190G] (Appellant) (Respondent)

Appellant by : Sh. Padam Bahl, CA Respondent by: Sh. Charan Dass,Sr. D.R. Date of Hearing: 19.02.2019 Date of Pronouncement: 15.05.2019

ORDER Per Sanjay Arora, AM: This is an Appeal by the Assessee agitating the Order by the Commissioner of Income Tax (Appeals)-2, Amritsar ('CIT(A)' for short) dated 26.3.2018, confirming the levy of penalty u/s. 271(1)(c) of the Income Tax Act, 1961 ('the Act' hereinafter) for the Assessment Year (AY) 2004-05 by the Assessing Officer (AO) vide his order dated 30.8.2016.

2 ITA No. 240/Asr/2018 (AY 2004-05) Jaspal Singh v. ITO the assessee due opportunity of being heard. The final findings by the tribunal in ITA No. 445/2016, which are relevant for the purpose, are reproduced as under:

‘4.6 In view of the foregoing, the matter, setting aside the assessment, is restored back to the file of the AO for the purpose. That is, to proceed from the stage of the issue of notice u/s. 148(1), which is undisposed. The decisions by the Hon’ble Apex Court and the jurisdictional High Court, cited supra, completely answer the questions arising in this case, including that qua the validity of the reasons recorded. I decide accordingly.

The assessment having been set aside, the penalty proceedings shall abate. The penalty order is, accordingly, cancelled. The Assessing Officer (AO) shall, however, be at liberty to, on finalizing the fresh assessment, initiate penalty proceedings, i.e., where deemed fit and proper in the facts and circumstances of the case, after recording satisfaction in its’ respect. I decide accordingly.