Commissioner of Income Tax vs Sh. Shri Chand (HUF)

Adarsh Kumar Goel, J.—This appeal has been preferred by the Assessee u/s 260A of the Income Tax Act, 1961 (for short, "the Act") against the order dated 15.12.2009 of the Income Tax Appellate Tribunal, New Delhi in I.T.A. No. 3948/Del/2009 for the assessment year 1996-97 proposing to raise following substantial questions of law :

Whether, on the facts and in the circumstances of the case, Ld. ITAT was right in law in quashing the order imposing penalty u/s 271(1)(c) of the Income Tax Act, 1961 by holding the addition in respect of which penalty has been levied stands deleted by the Tribunal?

Whether, on the facts and in the circumstances of the case, Ld. ITAT was right in deleting the penalty order I.T.A. No. 495 of 2010 and simultaneously by issuing directions that in case the quantum addition is modified or set aside or altered by the higher appellate authority, the Department shall be at a liberty to move an application to consider the matter afresh on merit in the light of the final outcome of the quantum matter without giving specific direction to the Assessing Officer to re-examine the penalty in case the quantum order is restored?

Learned Counsel for the revenue is unable to dispute that identical matter being I.T.A. No. 16 of 2010; CIT v. Fateh Singh (HUF). I.T.A. No. 16 of 2010 has been decided on 15.7.2010 by this Court against the revenue.

In view of above, this appeal is dismissed.