SHRI GAJANAN GRAMIN BIGAR SHETI SAHAKARI PATSANSTHA MARYADIT AJARA,KOLHAPUR vs. ITO WARD 1(1), KOLHAPUR, KOLHAPUR

Although a number of grounds have been raised by the assessee, however, these all relate to the order of the CIT(A) / NFAC in confirming the penalty of Rs.21,37,828/- levied by the Assessing Officer u/s 270A of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’).

None appeared on behalf of the assessee at the time of hearing, therefore, this appeal is being decided on the basis of material available on record and after hearing the Ld. DR.

Facts of the case in brief, are that the assessee is a co-operative society and filed its return of income on 28.09.2018 declaring nil income. The Assessing Officer in the order passed u/s 143(3) of the Act determined the total income of the assessee at Rs.34,69,273/-. While doing so, he disallowed the claim of deduction of Rs.34,69,273/- u/s 80P of the Act. Subsequently, he initiated penalty proceedings u/s 270A of the Act on account of mis-reporting of income to the tune of Rs.34,69,273/-. Rejecting the various explanations given by the assessee, the Assessing Officer levied penalty of Rs.21,37,828/- being 200% of the tax sought to be evaded on the amount of Rs.34,69,273/- which was determined as additional income.

In appeal, the CIT(A) / NFAC dismissed the appeal filed by the assessee.

Aggrieved with such order of the CIT(A) / NFAC, the assessee is in appeal before the Tribunal.

The Ld. DR at the time of hearing filed a copy of the order of the Tribunal in assessee’s own case and submitted that the Tribunal vide & 1192/PUN/2024, order dated 04.09.2024 for assessment years 2018-19 and 2020- 21 has restored the quantum proceedings to the file of the CIT(A) / NFAC with certain directions. Therefore, this needs to be restored to the file of the CIT(A) / NFAC for fresh adjudication. Considering the fact that the quantum proceedings have been restored to the file of the CIT(A) / NFAC for fresh adjudication, therefore, we deem it proper to restore the issue to the file of the CIT(A) / NFAC with a direction to decide the issue afresh in accordance with law after quantum appeal is decided. Needless to say, the CIT(A) / NFAC shall provide due opportunity of being heard to the assessee while deciding the appeal. The grounds raised by the assessee are accordingly allowed for statistical purposes.

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