TaxTMI 
TaxTMI 
2013 (7) TMI 766
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....341/-. 2. On the facts and circumstances of law, the ld.CIT(A) has erred in deleting the penalty on technical ground without considering the merits of the facts. 3. On the facts and in the circumstances of the case, the ld.CIT(A) ought to have upheld the order of the AO. 4. It is therefore prayed that the order of the CIT(A) maybe set aside and that of the order of the AO be restored." 3. The learned CIT-DR submitted that the only issue in this appeal of the Revenue is regarding validity of penalty imposed under section 271(1)(c) of the Act amounting to Rs.210,33,19,341/-. He referred to para 4.0 onwards of the penalty order passed by the AO in support of the case of the Revenue. The learned CIT-DR submitted that the CIT(A) has ....
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.... operative part of the appellate order passed by the CIT(A) i.e. para 2.3. He fairly submitted that the assessee has raised four issues, which include the issue on merits of the case, in appeal before the CIT(A), and the CIT(A) has decided only one issue and other issues including that on merits were considered by the CIT(A), but were not adjudicated upon by him. He submitted that the CIT(A) in the last para of his appellate order has recorded that he has followed the decision of the ITAT, Ahmedabad in the case of Rupam Mercantile Ltd. (supra), and also other cases as discussed therein, and the penalty so imposed was directed to be cancelled on the ground that the claim of the appellant under section 80IA r.w.s. section 80IA(5) of the Act h....
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....n technical ground, the issue about "furnishing inaccurate particulars" in the case of appellant on merit is not deliberated, and the same can be looked into only after receipt of Hon'ble Gujarat High Court's judgment in appellant's case for the issue under consideration. We find that this approach of the CIT(A) in deciding the appeal is not sustainable in law. He has not decided all the issues raised before him by the assessee. We find that CIT(A) has deleted the penalty and allowed the appeal of the assessee on technical ground that since the appeal of the assessee has been admitted by the Hon'ble jurisdictional High Court in the quantum case of the assessee, therefore there is substantial question of law exist for determination and the l....
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.... of Hon'ble Supreme Court in the case of Reliance Petroproducts(supra), with due regard, since the penalty is cancelled on technical ground, the issue about "furnishing inaccurate particulars" in the case of appellant on merit is not deliberated and the same can be looked into only after receipt of Hon'ble Gujarat High Court's judgement in appellant's case for the issue under consideration." We find that the Hon'ble jurisdictional High Court in the case of CIT Vs. Prakash S. Vyas (supra) has held that mere admission of an appeal by the High Court cannot without there being anything further, be an indication that the issue is debatable one so as to delete the penalty under section 271(1)(c) of the Act even if there are independent grounds....