THEORY M INTERACTIVE P. LTD,MUMBAI vs. DCIT 9(3), MUMBAI

This appeal is filed by the assessee challenging the order of the Ld. CIT(A)-20, Mumbai dated 20.02.2013 in sustaining the penalty order passed u/s. 271(1)(c) for the assessment year 2006- 07.

The Ld. Counsel for the assessee submits that the appeal filed by the assessee in quantum proceedings has been set aside to the file of the Assessing Officer for fresh adjudication in accordance with law, therefore, penalty order will not survive. The Ld. Counsel for the assessee placed a copy of the order of the Tribunal in of 2011 dated 12.11.2014 on record.

The Ld. Departmental Representative has no serious objection in remitting the penalty proceedings.

On hearing both the sides and also perusing the order of the Tribunal in quantum proceedings, it is observed that the whole assessment has been set aside by the Co-ordinate Bench since assessment was completed ex-party without proper opportunity to the assessee. We also find that additional evidences have also submitted by the assessee in respect of the additions made in the quantum assessments. In the circumstances, the Co-ordinate Bench restored the assessment to the file of the Assessing Officer for fresh adjudication. Therefore, since the entire assessment has been restored to the file of the Assessing Officer, we restore the penalty proceedings also to the file of the Assessing Officer who shall pass necessary orders after completion of the consequential assessment.

In the result, the appeal filed by the assessee is allowed for statistical purpose.