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Facts
The assessee filed appeals and stay applications challenging an order of CIT(A)-1, Noida, which stemmed from quantum additions made in the assessment order.
Held
The Tribunal observed that the quantum additions, which were the basis for the penalty orders, had already been deleted by a prior Tribunal order. Consequently, it quashed the penalty orders, allowed the assessee's appeals, and dismissed the associated stay applications as infructuous.
Key Issues
Whether penalty orders remain valid once the underlying quantum additions have been deleted by the Income Tax Appellate Tribunal.
Sections Cited
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Income Tax Appellate Tribunal, DELHI BENCH ‘E’, NEW DELHI
Before: Dr. B. R. R. Kumar, Sh. Sudhir Kumar
ORDER PER BENCH: The present appeals and stay applications have been filed by the assessee against the order of CIT(A)-1, Noida dated 27.09.2018.
At the outset, both the parties fairly brought to our notice that the quantum additions made in the Assessment order stands deleted by the order of the Tribunal dated 08.08.2023. Hence, the penalty orders are liable to be quashed. Since, the penalty orders have been quashed, the stay applications become in-fructuous and hence dismissed.
In the result, the appeals of the assessee are allowed and stay applications are dismissed as in-fructuous.
Order Pronounced in the Open Court on 17/05/2024.