IN INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI S.S. GODARA, JUDICIAL MEMBER) ITA. No: 2840/AHD/2013 (Assessment Year: 2007-08) Asstt. Commissioner of V/S M/s. Surat National Co- Income-Tax, Circle-2, Operative Bank Ltd., Surat 3/4016, Navnidhi Karwa Road, Surat-395003 (Appellant) (Respondent) PAN: AAAAS5702J Appellant by : Shri Shiva Sewak, Sr. D.R. Respondent by : Written Submission. ORDER Date of hearing : 17 -10-2016 Date of Pronouncement : 20-10-2016 PER N.K. BILLAIYA, ACCOUNTANT MEMBER: 1. This appeal by Revenue is directed against order of Ld. CIT(A)-II, Surat dated 23.09.2013 pertaining to A.Y. 2007-08. 2 ITA No. 2840/Ahd/2013 . A.Y. 2007-08 2. sole grievance of revenue is that ld. CIT(A) erred in cancelling penalty levied by A.O. 3. perusal of written submissions of assessee shows that Tribunal in ITA No. 3242/Ahd/2010 vide order dated 08.07.2013 has deleted all additions and set aside matter to Assessing Officer on one issue. Following issues were considered by Tribunal and decided accordingly. (4) (i) Depreciation allowance in respect of diminution in value of securities held by bank which were held as AFS (Available For Sale) (ii) Assessing Officer had disallowed claim on ground that this is provisions and not crystallized. learned Commissioner of Income-tax (Appeals) in para 6 (Page 4) of order directed Assessing Officer to verify scriptwise market price and cost price, determine depreciation and allow depreciation/appreciation as per law. (5) Disallowance of claim for payment made for welfare of member. Vide para 10 ( Pages 5-6) of its order, Tribunal has allowed above ground. (6) Disallowance of contribution to Urban Bank Credit Equalization fund of Rs. 5,20,609/-. By para 14 (Page 7), Tribunal allowed above ground of assessee. (7) Payment of Education Fund Rs. 3,00,000/-. By para 16 (Page 7-8), Tribunal has allowed above ground. 4. perusal of above shows that, except for first issue, all additions/disallowances have been deleted by Tribunal. To that extent, 3 ITA No. 2840/Ahd/2013 . A.Y. 2007-08 no penalty is leviable u/s. 271(1)(c) of Act. However, on issue which is set aside to files of A.O., we set aside penalty also to files of A.O. to be decided afresh after considering quantum proceedings in light of directions of Tribunal. 5. In result, appeal filed by revenue is allowed in part for statistical purpose. Order pronounced in Open Court on 20 - 10- 2016. Sd/- Sd/- (S. S. GODARA) (N. K. BILLAIYA) JUDICIAL MEMBER ACCOUNTANT MEMBER Ahmedabad: True Copy Rajesh Copy of Order forwarded to:- 1. Appellant. 2. Respondent. 3. CIT (Appeals) 4. CIT concerned. 5. DR., ITAT, Ahmedabad. 6. Guard File. By ORDER Deputy/Asstt.Registrar ITAT,Ahmedabad Asstt. Commissioner of Income-tax, Circle-2, Surat v. M/s. Surat National Co-Operative Bank Ltd