ACIT, CENTRAL CIRCLE-30, NEW DELHI vs. CLITORIA VANIJYA PVT. LTD., DELHI

(A) This appeal by Revenue is filed against the order of Learned Commissioner of Income Tax (Appeals)-30, New Delhi, [“Ld. CIT(A)”, for short], dated 22.06.2017 for Assessment Year 2008-09. Grounds taken in this appeal of Revenue are as under:

“1. The Ld. CIT(A) has erred in law in deleting the additions without considering the fact that notices were issued and served on the address as per return of income and record available with Assessing Officer. The assessee did not give any intimation regarding change of address during any of the assessment proceedings.

ITA- 5788/Del/2017 Clitoria Vanijya Pvt. Ltd. 3. The Ld. CIT(A) has erred both in law and fact in deleting the penalty of Rs. 1,42,11,280/- u/s 271(1)(c) of the I.T. Act, 1961 imposed by the AO when the appellant did not discharge its onus of proving the identity, creditworthiness of the investors and genuinesness of the transactions during the course of assessment proceedings. 4. That the grounds of appeal are without prejudice to each other.

5. That the appellant craves leave to add, amend, alter or forgo any ground(s) of appeal either before or at time hearing of the appeal.”

(B) At the time of hearing, at the outset, the Ld. Counsel for the Assessee informed us that the assessee has opted for Vivad Se Vishwas Scheme, 2020 (“VSVS”, for short) for the settlement of subject matter of the disputes in this appeal. He drew our attention to Email dated January 04, 2021 sent from assessee’s side in Income Tax Appellate Tribunal (“ITAT”, for short) giving intimation of the same, wherein copy of Form 3 issued by Revenue in respect of aforesaid VSVS was also attached; implying acceptance of VSVS declaration of assessee by Revenue. At the time of hearing before us, the Ld. Counsel for assessee submitted before us that this appeal may be dismissed on account of the aforesaid VSVS. The learned Commissioner of Income Tax (Departmental Representative)

[“Ld. CIT(DR)”, for short] did not express any objection to this. After due consideration, and in view of the foregoing; we treat this appeal as withdrawn by Revenue on account of the aforesaid VSVS. Accordingly, the appeal is dismissed being treated as withdrawn.

(B.1) Before we part, we hereby clarify, by way of abundant caution, that if for some reason it is found by Revenue that the disputes under this appeal before us are not fully settled under the aforesaid VSVS, then Revenue will be at liberty to approach ITAT for restoration of this appeal, in accordance with law.

ITA- 5788/Del/2017 Clitoria Vanijya Pvt. Ltd. (B.2) With these directions, the aforesaid appeal of Revenue is dismissed, being treated as withdrawn.

(C) For statistical purposes, this appeal is dismissed.

This order was already pronounced on 05th January, 2021 in Open Court, in the presence of Representatives of both sides; after conclusion of the hearing.