THE LOHIA TRUCK OPERATOR UNION,JALANDHAR vs. ITO WARD NAKODAR, NAKODAR
Facts
The assessee filed appeals against penalty orders passed by the AO u/s 271B of the Income Tax Act, 1961, for assessment years 2016-17 and 2017-18. During the tribunal proceedings, the assessee's counsel sought to withdraw the appeals, stating that the assessee opted for the Direct Tax 'Vivad Se Vishwas Scheme 2024 and had obtained the necessary certificates.
Held
Following the precedent set by the Madras High Court, the Tribunal dismissed both appeals as withdrawn. The Tribunal, however, granted liberty to the assessee to restore the appeals if the declaration filed under the Vivad Se Vishwas Scheme is not accepted by the Revenue for any reason.
Key Issues
Whether appeals should be dismissed as withdrawn when the assessee opts for the 'Vivad Se Vishwas Scheme', with a provision to restore them if the VSV declaration is rejected.
Sections Cited
Section 250 of Income Tax Act, 1961, Section 271B of Income Tax Act, 1961, Section 4 of Direct Tax Vivad Se Vishwas Act
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR.
Before: SH. UDAYAN DAS GUPTA & SH. BRAJESH KUMAR SINGH
IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR. BEFORE SH. UDAYAN DAS GUPTA, JUDICIAL MEMBER AND SH. BRAJESH KUMAR SINGH, ACCOUNTANT MEMBER
I.T.A. Nos. 522 and 523/Asr/2024 Assessment Year: 2016-17 and 2017-18
Lohian Truck Operator Union Vs. ITO, Ward, Lohian Khas, Jalandhar. Nakodar. [PAN: AADFT5855D] (Appellant) (Respondent)
Appellant by J.S. Bhasin, Adv. Respondent by Sh. Charan Dass, Sr. DR
Date of Hearing 27.05.2025 Date of Pronouncement 29.05.2025
ORDER Per: Bench: The instant appeals of the assessee are directed against the order of the ld. Commissioner of Income Tax (Appeals), NFAC, Delhi, [in brevity the ‘CIT (A)’], order passed u/s 250 of the Income Tax Act
1961, for A.Ys. 2016-17 and 2017-18 dated 08.08.2024 separately arising out of penalty order passed by the AO u/s 271B of the Act vide
I.T.A. Nos. 522 and 523/Asr/2024 2 Assessment Year: 2016-17 and 2017-18
both order dated 08.09.2022 for the respective assessment years 2016- 17 and 2017-18.
During the proceedings, the ld. AR appeared on the behalf of the
Assessee and submitted applications dated 24.01.2025 on e-mail, with
the request for withdrawal of these appeals on the ground that the
Assessee has opted to take benefit under the Direct Tax 'Vivad Se
Vishwas Scheme 2024 and sought permission from the Bench to
withdraw the aforementioned appeals. Necessary certificates in Form
No.2 under Rule 5 have been issued to him which are placed on record.
Since, the assessee had already filed an application under Direct Tax "Vivad
Se Viswas Scheme Act 2024", there is no need to keep appeal pending before us in
view of the decision of Hon'ble Madras High Court in the case of Nannusamy
Mohan (HUF) vs. ACIT in T.C.A. No.372 of 2020 dated 16.10.2020, wherein the
Hon'ble High Court after considering the intention of the assessee to avail the
benefit of Vivad se Vishwas Scheme 2020' (VSV scheme), had dismissed the appeal by observing in Para 7 to 9 as under:-
I.T.A. Nos. 522 and 523/Asr/2024 3 Assessment Year: 2016-17 and 2017-18
"7. As observed, the assessee is given liberty to restore this appeal in the event the ultimate decision to be taken on the declaration to be filed by the assessee under Section 4 of the said Act is not in favour of the assessee. If such a prayer is made, the Registry shall entertain the prayer without insisting upon any application to be filed for condonation of delay in restoration of the appeal and on such request made by the assessee by filing a Miscellaneous Petition for Restoration, the Registry shall place such petition before the Division Bench for orders. 8. In the light of the above, we direct the appellant/ assessee to file the Form No. 1 on or before 20.11.2020 and the competent authority shall process the application/ declaration in accordance with the Act and pass appropriate orders expeditiously preferably within a period of 6 (6) weeks from the date on which the declaration is filed in the proper form. 9. With this declaration, the Tax Case appeal disposed aforementioned liberty Consequently the Substantial Question of Law are left upon. No costs." 4. In light of the view taken by Hon'ble Madras High Court cited (supra), we also give liberty to the assessee to get the appeal restored in the event that the assessee does not succeed on the declaration filed by the assessee under Direct Tax "Vivad Se Viswas Scheme-2024". In other words, if the assessee's declaration filed
is not accepted by the Revenue for any reason whatsoever, the assessee can make a prayer before the Bench for recalling of the order by filing a miscellaneous application for restoration of appeal. The Registry will place such petition before the Bench concerned.
I.T.A. Nos. 522 and 523/Asr/2024 4 Assessment Year: 2016-17 and 2017-18
In view of the aforesaid observations, we dismiss the appeal with liberty to get them recalled in the eventuality of assessee’s declaration not getting accepted
by the Revenue.
In the result, both the appeals of the assessee are dismissed as withdrawn.
Order pronounced in the open court on 29.05.2025 Sd/- Sd/- (Udayan Das Gupta) (Brajesh Kumar Singh) Judicial Member Accountant Member AKV Copy of the order forwarded to: (1)The Appellant (2) The Respondent (3) The CIT (4) The CIT (Appeals) (5) The DR, I.T.A.T.
