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Acit, Circle-52(1), New Delhi v/s N.S. Software, New Delhi

Company & Directors' Information:- R S SOFTWARE (INDIA) LTD. [Active] CIN = L72200WB1987PLC043375

Company & Directors' Information:- C K SOFTWARE PRIVATE LIMITED [Active] CIN = U72501DL2000PTC106184

Company & Directors' Information:- K K SOFTWARE PRIVATE LIMITED [Active] CIN = U72900DL2009PTC193030

Company & Directors' Information:- A K C SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2004PTC128462

Company & Directors' Information:- P AND P SOFTWARE PRIVATE LIMITED [Active] CIN = U74899DL1994PTC057212

Company & Directors' Information:- SOFTWARE INDIA PRIVATE LIMITED [Active] CIN = U72200GJ1995PTC025791

Company & Directors' Information:- N. D. SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200TG1998PTC029778

Company & Directors' Information:- T AND H SOFTWARE PRIVATE LIMITED [Active] CIN = U72200UP2000PTC025638

Company & Directors' Information:- M S SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2005PTC133997

Company & Directors' Information:- G A S SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2004PTC127546

Company & Directors' Information:- B B SOFTWARE LTD [Strike Off] CIN = L30009WB1995PLC072361

Company & Directors' Information:- H K SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200WB2001PTC093967

Company & Directors' Information:- J SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200TZ2000PTC009229

Company & Directors' Information:- K S M SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2004PTC128463

Company & Directors' Information:- R B SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2005PTC140322

Company & Directors' Information:- SOFTWARE INDIA PRIVATE LIMITED [Active] CIN = U72200RJ1995PTC010577

Company & Directors' Information:- R J SOFTWARE PRIVATE LIMITED [Active] CIN = U72200DL2005PTC133815

Company & Directors' Information:- I & I SOFTWARE INDIA PRIVATE LIMITED [Strike Off] CIN = U72200TN2005PTC056262

Company & Directors' Information:- D F SOFTWARE INDIA PRIVATE LIMITED [Strike Off] CIN = U72200TZ2003PTC010629

Company & Directors' Information:- E. C. SOFTWARE INDIA PRIVATE LIMITED [Active] CIN = U72900TN2007PTC063486

Company & Directors' Information:- Q 3 INDIA SOFTWARE PRIVATE LIMITED [Active] CIN = U72900TN2007PTC065786

Company & Directors' Information:- K Y SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200DL2005PTC136072

Company & Directors' Information:- T M I SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200KA2005PTC036299

Company & Directors' Information:- B C L SOFTWARE (INDIA) PRIVATE LIMITED [Strike Off] CIN = U30007MH1999PTC117922

Company & Directors' Information:- M I S SOFTWARE PRIVATE LIMITED [Active] CIN = U72200TN2008PTC068694

Company & Directors' Information:- A. T. SOFTWARE PRIVATE LIMITED [Active] CIN = U72200TG1996PTC023841

Company & Directors' Information:- J A K SOFTWARE PVT LTD [Active] CIN = U72200DL2001PTC111929

Company & Directors' Information:- R R SOFTWARE PVT LTD [Under Process of Striking Off] CIN = U72200KL1991PTC006051

Company & Directors' Information:- A M H SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200DL2005PTC132410

Company & Directors' Information:- P D A SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72900DL2003PTC123465

Company & Directors' Information:- K C SOFTWARE PRIVATE LIMITED [Active] CIN = U74899DL1989PTC036923

Company & Directors' Information:- I SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72300MH2012PTC225903

Company & Directors' Information:- V M SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72900PN2010PTC136847

Company & Directors' Information:- H M SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200HP2011PTC031756

Company & Directors' Information:- S N R SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72900DL2012PTC243073

Company & Directors' Information:- C M S SOFTWARE PRIVATE LIMITED [Active] CIN = U74899DL2005PTC142352

Company & Directors' Information:- S M I T SOFTWARE COMPANY PRIVATE LIMITED [Strike Off] CIN = U74899DL2006PTC144816

Company & Directors' Information:- A D SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200KA2002PTC030722

Company & Directors' Information:- H. A. N. R. E. J SOFTWARE PRIVATE LIMITED [Strike Off] CIN = U72200TG2008PTC062044

    ITA No. 5987/Del of 2017

    Decided On, 25 October 2018

    At, Income Tax Appellate Tribunal Delhi


    For the Appellant: Atiq Ahmad, Sr. DR. For the Respondent: None.

Judgment Text

Beena A Pillai, Judicial Member:

Present penalty appeal has been filed by revenue against order dated 30/05/17 passed by Ld.CIT(A)-24, New Delhi for Assessment Year (A.Y.) 2009- 10 on the following grounds of appeal:

"1. On the facts and in the circumstances, the Ld.CIT(A) has erred in deleting the penalty amounting to Rs.53,36,340/- levied by A.O. u/s 271(1)(c) of the Income Tax Act, 1961 (hereinafter referred to as "the Act") without giving any specific findings and only relying upon the decision of Hon'ble ITAT pronounced on 28.02.2017 for A.Y. 2005-06 to 2009-10 for quashing of assessment, which has been challenged by the department before the Hon'ble High Court u/s 260A of the Act.

(ii) The appellant craves leave to add, alter or amend any/all the grounds of appeal before or during the course of hearing of appeal."

2. Brief facts of the case are as under:

Assessment orders has been passed by Ld. Assessing Officer (Ld.AO) under section 153C read with 143C (3) of the Act on 28/12/10, wherein claim of A.Y. 2009-10 ACIT , Circle 52(1), N.Del vs. M/s N.S.Software, N.Del. deduction under section 80 IA of the Act was disallowed, and penalty proceedings under section 271 (1) (c) of the Act was initiated for furnishing of inaccurate particulars of income. Against assessment order passed, assessee filed appeal before the Ld.CIT (A). Ld.CIT (A) vide order dated 09/04/14 confirmed the disallowances made by Ld.AO.

2.1. Thereafter Ld.AO issued penalty notice to assessee calling upon to explain as to why penalty under section 271 (1) (c) of the Act should not be levied. The explanation tendered by assessee before Ld. AO regarding non-levy of penalty was rejected. Ld.AO thus levied hundred percent penalty of tax sought to be evaded amounting to Rs.53,36,340/-.

3. Aggrieved by the penalty order passed by Ld. AO, assessee preferred appeal before the Ld. CIT (A). Ld. CIT (A) deleted penalty by observing as under:

"4.1.2. I have considered the submissions of the appellant and have gone through the order of the Hon'ble ITAT. The Hon'ble ITAT in this order dated 28.02.2017, after discussing the matter in detail has held that "the assessment framed u/s 153C/143(3) of the Act for the A.Ys 2005-06 to 2009-10 are thus held as void ab initio and are quashed as such." Since the quantum addition itself no longer survives, penalty under section 271 (1) (c) necessarily has to be deleted. I direct accordingly. Therefore, these grounds of appeal succeed."

4. Aggrieved by the order passed by Ld. CIT (A), revenue is in appeal before us now.

5. At the outset, we mention that none has appeared on behalf of assessee before us. Further it is observed from records placed before us that assessee has not been appearing on previous dates too. Considering smallness of the case, and that, the issue stands concluded in favour of assessee by categorical observation of Ld.CIT (A) in impugned order, we are inclined to decide this issue in absence of assessee or its Representatives.

6. Ld. Sr.DR placed reliance upon the order of Ld.AO.

7. We have perused records placed before us. We do not find any infirmity in the findings of Ld.CIT(A). We also conducted our own research, regarding status A.Y. 2009-10 ACIT , Circle 52(1), N.Del vs. M/s N.S.Software, N.Del. of appeal preferred by revenue against the order passed by this Tribunal in quantum appeal pronounced on 28/02/2017 as raised in ground of appeal. We learnt that Hon'ble Delhi High Court has dismissed revenue's appeal in Pr.CIT vs. N.S.Software reported in (2018) 93 Taxmann.com 21 for

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Assessment Year 2009-10 and has upheld order of this Tribunal passed dated 28/02/17. Thus order dated 25.02.2017 for A.Y. 2009-10 has attained finality. 8. We, therefore, do not find any merit in the ground raised by revenue and uphold the order of Ld.CIT(A). Accordingly ground raised by Revenue stands dismissed. 9. In the result appeal filed by revenue stands dismissed.