Rohit Ranjan Agarwal, J. - (1.) All these six appeals under Section 260-A of the Income Tax Act, 1961 (hereinafter called as 'Act') arise out of the common order passed by the Income Tax Appellate Tribunal, Delhi, Bench "B", New Delhi (hereinafter called as 'Tribunal') dated 26.09.2014. The leading appeal is Income Tax Appeal No. 276 of 2015 for the assessment year 2000-01. These appeals were heard and decided on 22.02.2019 on the preliminary objection raised by the assessee regarding the territorial jurisdiction of this Court. Today with the consent of both the parties, the appeal is heard on merit.
(2.) This appeal was admitted on 16.11.2016 on the following question of law:- "(A) Whether on the facts and circumstances of the case, the Hon'ble ITAT, New Delhi is legally justified in deleting the penalty of Rs.75,76,441/- imposed by the AO ignoring the quantum appeal which had been confirmed by the Ld. CIT(A) as well as the ITAT, New Delhi on which the penalty was imposed. (B) Whether on the facts and circumstances of the case, the ITAT has not erred in law in deleting the penalty of Rs.75,76,441/- imposed by the AO contradicting their findings in deciding the quantum appeal that the whole transaction was designed to show huge amounts as gifts without any liability of paying taxes."
(3.) Income Tax Appeal No. 276 of 2015 for the assessment year 2000-01 is being treated as leading case. The brief facts of the case are that under Section 132 of the Act, search and seizure was conducted on the business premises of the persons related to Begum Gutkha Group on 09.12.2003. During course of search and seizure, various books of accounts and other documents were found and seized. In response to notice under Section 153-A of the Act, the assessee filed a letter on 23.02.2007 stating that his original return filed may be treated as return required under Section 153-A of the Act.;